KATHMANDU: Home Minister Sudan Gurung has stated that he and his business partners were deceived by landowners in a land lease deal near Phewa Lake in Pokhara.

In a statement issued through his secretariat on Monday, Gurung claimed that key facts were concealed when they leased the land, leading to misinformation about its legal status.

This clarification comes as authorities are currently carrying out a campaign—based on a Supreme Court order—to remove structures built within the designated boundary of Phewa Lake. It was recently revealed that land leased by the minister also falls within the restricted zone, prompting public scrutiny.

Gurung explained that the landowners had assured them the property did not fall within the 65-meter boundary from the lake, and official land documents also indicated it was compliant. However, he later discovered through the municipality that the land was indeed within the restricted area.

About 8–10 years ago, Gurung and two other young entrepreneurs had planned to operate an “Adventure Sports Nepal” venture along the lakeside. According to his secretariat, they had invested significant resources and ambition into the project.

Upon learning the truth, Gurung said he halted construction and investment on ethical grounds.

“As soon as I found out that we had been misled, I stopped the work,” he said. “As young entrepreneurs, our dreams and investments were undermined. This is unacceptable.”

The Home Minister further stated that he will pursue strict legal action against those responsible for the alleged fraud.

His response follows criticism on social media, where users questioned his involvement in land within the Phewa Lake boundary.