The Supreme Court has issued an interim order directing authorities not to arrest former prime minister and immediate past president of the Nepali Congress, Sher Bahadur Deuba.
A division bench of Justices Mahesh Sharma Paudel and Nityananda Pandeya issued the interim order on Monday.
The court ordered that Deuba not be arrested based on the arrest warrant issued by the Kathmandu District Court on April 7.
The court issued the order noting that the said arrest warrant had already become inactive.
"...Since the jurisdiction to hear cases related to offenses investigated by the Department of Money Laundering Investigation lies with the Special Court, the permission granted by the Kathmandu District Court on April 7 to issue an arrest warrant prior to the issuance of the ordinance appears to have automatically become inactive," the Supreme Court said.
On May 1, an ordinance was introduced to amend the Asset (Money) Laundering Prevention Act, 2008.
Section 22 (2) of the ordinance states: "If the investigation conducted by the department shows grounds for prosecution, the government attorney shall file a case in the Special Court."
The Supreme Court issued the interim order, emphasizing that jurisdiction over such matters belongs to the Special Court.
"The reviewed investigation file does not show that the Department of Money Laundering Investigation sought an arrest warrant from the Special Court by clearly stating the grounds and reasons, nor does it show that the Special Court granted permission accordingly," the order reads.
Deuba had filed a writ petition at the Supreme Court claiming that the police were attempting to arrest him. He is currently abroad.