Kathmandu | Nepal Home Minister Sudan Gurung on Wednesday tendered his resignation after allegations relating to his financial conduct while holding the office.

The resignation by Gurung, who was appointed as Home Minister on March 27, comes amid growing criticisms over his alleged business links and shares' transactions with a controversial businessman.

Gurung wrote on his social media site that he has resigned from the post to ensure impartial investigation into matters relating to his financial conduct and to avoid the conflict of interest while in office.

"For me, ethics is greater than position, and there is no greater force than public trust. The ongoing Gen Z movement in the country, which is demanding good governance, transparency and accountability, has also conveyed this message-that public life must be clean and leadership must be accountable.

"If anyone questions the government formed on the blood and sacrifice of my 46 brothers and sisters, the answer to that is ethics," Gurung wrote in a Facebook post.

According to Prime Minister Balendra Shah's secretariat, Gurung has handed over his resignation letter to the prime minister.

PM Shah has kept the home ministry portfolio himself, the secretariat added.

Gurung was active during September last year's Gen Z movement, as he was seen distributing bottled water to the protesters in Maitighar Mandala and Naya Baneshwor, the main venue of the protest.

He had also played a crucial role in inking a deal between Shah, who then was the Kathmandu mayor, and Ravi Lamichhane, a TV journalist-turned-politician, and the president of the Rastriya Swatantra Party (RSP).

Earlier on April 9, Prime Minister Shah sacked Minister for Labour, Employment and Social Security Dip Kumar Sah from his post at the recommendation of the ruling RSP.

RSP president Lamichhane had recommended Shah to take action against Sah for misusing dignity of position by being involved in re-appointment of his wife as a member of the Health Insurance Board after her tenure had expired.

The prime minister assumed the responsibility of the Labour Ministry after Sah was relieved, 15 days after he took charge of the office.

The Shah led RSP government in Nepal came to power riding on the massive opposition to the legacy parties in the country months after the September 2025 Gen Z protests that toppled K P Sharma Oli-led coalition protesting corruption and restrictions on social media.