Foreign Employment Scams in Nepal: Legal Highlights 2025
Foreign Employment Scams in Nepal: Legal Highlights 2025
1.Background:
Foreign Employment-related scams have become a growing concern in Nepal, affecting job seekers across both traditional and online platforms. Fraudsters exploit individuals by offering fake job opportunities, collecting advance fees, or misusing personal information. This article explains the types of employment scams in Nepal, the legal provisions that address them, and the process of reporting and seeking justice under Nepalese law.
2.Laws and Legal Provisions
Basically, the laws mentioned below govern the employment scams and frauds in Nepal;
- Foreign Employment Act, 2064
- National Penal Code, 2074
- Electronic Transactions Act, 2063
- The Labor Act, 2074
- Human Trafficking and Transportation (Control) Act, 2064
- Consumer Protection Act, 2075 (2018)
3.Governing Authorities
Authorities:
- Department of Foreign Employment (To the Foreign Employment Tribunal)
- Nepal Police (To the District Court)
- Cyber Bureau
Cases, the above authorities deal are listed in a picture below;
4.Foreign Employment Scams related Offenses
Foreign employment scams can be conducted either domestically or from abroad. The offenses for both categories are described below;
Foreign Oriented Employment Scams (Outside Nepal);
| S.N | Activities | How they carry out activities |
|---|---|---|
| 1 | Fake job offers from abroad | A recruiter abroad contacts victims through social media or email offering high-paying jobs, asks for advance payment for visa, training, or tickets, and then disappears or provides fake documents after receiving the money. |
| 2 | Operation of Fake recruitment agencies | Fake agencies recruit Nepali domestic workers, collect personal documents and fees, but turn out to be fraudulent, causing victims to lose their money. |
| 3 | Document forgery and visa fraud | A recruiter abroad promises fake visas or work permits through claimed embassy connections, and workers pay large sums for these invalid documents. |
| 4 | Abusive Foreign Recruitment | A recruiter promises a Nepali worker a job with high salary, food, and accommodation, but upon arrival, the employer withholds wages, forces extra hours, or confiscates passports. |
| 5 | Exploitation of migrant worker through fake employment | Recruiter promises a job abroad, takes fees, arranges travel, then sells the victim or forces them into exploitation, prostitution (to women). |
| 6 | Fraud Agreement | A recruiter abroad promises a Nepali worker a high-paying job, but after paying fees and arriving, the worker discovers the job offers low wages. |
Online Foreign Employment Scams:
| S.N | Activities | How they carry out activities |
|---|---|---|
| 1 | Fake foreign companies offering jobs via social media or email | A fake foreign company contacts Nepali jobseekers on social media, offers “guaranteed jobs,” collects document scans and processing fees via online transfer, and then disappears after receiving the payment. |
| 2 | Online training/Internship Scam from abroad | A foreign institute promises online training with guaranteed jobs abroad, collects high fees from Nepali workers, but provides no recognized certificate or actual placement. |
| 3 | Using fake online manpower pages for collecting processing fees | A foreign website pretends to be a licensed manpower agency offering seasonal jobs to Nepali citizens and asks applicants to pay “visa sponsorship” fees online. |
Offenses enlisted in the relevant Acts:
Foreign Employment related scams are addressed under several laws in Nepal, some of them are as below;
| Acts | Sec | Offenses |
|---|---|---|
| As per Foreign Employment Act, 2064 | 43 | Operating a foreign employment business without a valid license. Collecting money with false promise of foreign employment. Luring people for foreign employment through deceptive means. |
| 44 | Licensed agencies sending workers abroad without approval from Department of Foreign Employment. Collecting money with false promises and not sending individuals for foreign employment. |
|
| 46 | Sending workers to a different country using another country's visa. | |
| 47 | Forging/falsifying foreign employment documents or reports. Keeping fake records in Foreign Employment processes. |
|
| 52 | Unlicensed individuals or entities sending workers abroad privately. | |
| 53 | Charging excessive fees beyond legal limits. Charging service fees for “free” visas. |
|
| 55 | Assigning workers to jobs or companies contrary to their contracts. | |
| 58 | Re-issuing a license to a previously revoked agency. | |
| As per National Penal Code, 2074 | 249 | Deceiving someone for personal gain or causing loss. |
| 276 | Forging or using fake documents to deceive (fake job offers). | |
| 277 | Using or presenting fake documents as real. | |
| As per Electronic Transactions Act, 2064 | 45 | Unauthorized access to a job seeker's digital or financial information. |
| 46 | Tampering with or modifying digital job-related data or websites. | |
| 47 | Posting fake job ads or misleading online content. | |
| 48 | Misusing/disclosing job seekers' personal or financial information under false job-processing claims. | |
| 52 | Fraudulently using digital signatures or electronic payment systems for personal gain. Illegally collecting online payments and misusing digital platforms. |
|
| As per Labor Act, 2074 | 163(1)(a) | Operating a labor supply business without a license. |
| 163(1)(b) | Employing a foreigner without a labor permit. | |
| 163(2)(b) | Hindering labor officials or submitting false information. | |
| 163(2)(c) | Engaging trainees contrary to law (fake internships, unpaid wages). | |
| As per Human Trafficking and Transportation (Control) Act, 2064 | 4 | Luring someone abroad with fake job promises and using/selling them for exploitative labor or prostitution. |
| As per Consumer Protection Act, 2075 | 7 | Producing defective products; making false or misleading advertisements. |
| 8 | Importing goods banned by existing laws. | |
| 16(2) | Deceptive advertising, false claims, unfair pricing; selling harmful or substandard goods. | |
| 17 | Selling goods for unfair profit or manipulating supply/demand/prices. | |
| 18 | Producing or selling harmful/substandard goods, deceiving consumers, manipulating prices, restricting sales, or forcing extra purchases. |
Methods for reporting Foreign Employment Scams
- Basically, there are 3 ways for reporting Foreign Employment Scams.
- To the Department of Foreign Employment (DoFE) (deals with the foreign employment fraud)
- To the Consumer Department
- To the Nepal Police (deals with criminal offenses; deception, exploitation)
- Through the Cyber Bureau (investigates online fraud)
- The initial complaint process till the filing of case to the court as well the trial procedure in the court in step wise process are outlined as below;
6.1 Pre-Trial Phase for Foreign Employment Fraud (in the Department of Foreign Employment)
6.2 Court Process for Foreign Employment Fraud (Case Proceeding):
6.3 Complaint filing through other medium
i. Through Cyber Bureau
- If the broker used social media or online platform for the commission of scam, like; digital payment fraud, fake online job offers, or online investment scam, then, the complaint is too be done in the Cyber Bureau.
A. Procedure for complaint filing through Cyber Bureau
ii. Through Police Station;
- If the scammer takes the money by false promise of job offers, charging money for a job that does not exist, then the complaint is to be filed in the nearest Police Station for the reimbursement of money from the scammer.
B. Procedure for complaint Registration in Police
o The complaint procedure in Police Station is as same as that of complain filing through Cyber Bureau. Only the difference is the victim must visit the Police Station instead of Cyber Bureau for lodging complaint against the scammer.
5.Complaint filing through other medium
Through Cyber Bureau
- If the broker used social media or online platform for the commission of scam, like; digital payment fraud, fake online job offers, or online investment scam, then, the complaint is too be done in the Cyber Bureau
6.Procedure for complaint filing through Cyber Bureau
Sends notice to the scammer to make presence in the bureau or in case of severe fraudulent acts arrest them.
Coordinates with Department of Foreign Employment Tribunal or the District Attorney for case filing after the collection of enough evidence against the scammer
A. Through Police Station;
If the scammer takes the money by false promise of job offers, charging money for a job that does not exist, then the complaint is to be filed in the nearest Police Station for the reimbursement of money from the scammer.
B. Procedure for complaint Registration in Police
The complaint procedure in Police Station is as same as that of complain filing through Cyber Bureau. Only the difference is the victim must visit the Police Station instead of Cyber Bureau for lodging complaint against the scammer.
7.Complaint Filing by the Victim Residing Abroad
-Complaint can be filed at the Nepali Embassy or Consulate. Steps would be;
8.Settlement Provision Included
- Cases to be settled in any phase of case proceeding.
- Cases to be settled through Summary Procedure Act, 2028
For this, Foreign Employment Tribunal is formed;
- Constitute 3 members foreign employment tribunal
- Under the chairmanship of the Judge of the High Court
- Comprising Case trying authority of the Labor Court
- First class Officer of Judicial Service recommended by the Judicial Service Commission
9.Punishment for Foreign Employment Offenses
In regard to the growing foreign employment scams, there has been the relevant punishment allotted to different employment scams and frauds. Punishment allotted as per relevant acts and legal provisions are;
9.1 Punishment as per Foreign Employment Act, 2064
| SEC | ACTIVITIES | IMPRISONMENT | FINES |
|---|---|---|---|
| 43 | Operating a foreign employment business without a valid license. Collecting money with false promise of foreign employment. Luring people for foreign employment through deceptive means. Compensation: Return the received amount + 50% more + travel expenses of the victim person Half the punishment: If the victim not sent abroad |
3–7 years | 3 Lakhs–5 lakhs |
| 44 | Licensed agencies sending workers abroad without approval from Department of Foreign Employment. Collecting money with false promises and not sending individuals for foreign employment. Compensation: Return the collected amount + 50% extra Other punishment: Revocation of license |
3–7 years | 3 lakhs–5 lakhs |
| 46 | Sending workers to a different country using another country’s visa. Half the punishment: If the victim not yet sent abroad |
3–5 years | 3 lakhs–7 lakhs |
| 47 | Forging/falsifying foreign employment documents or reports. Keeping fake records in Foreign Employment processes. Double punishment and License revoked: If repeated offense. |
6 months–1 year | 1 lakh–3 lakh |
| 52 | Unlicensed individuals or entities sending workers abroad privately | - | 1 lakh–3 lakh License revocation or fine also |
| 53 | Charging excessive fees beyond legal limits Charging service fees for “free” visas Also return the extra or illegal fees |
- | 1 lakh |
| 55 | Assigning workers to jobs or companies contrary to their contracts Also do payment of the shortfall in remuneration and facilities |
- | 1 lakh |
| 58 | Re-issuing a license to a previously revoked agency No re-issuance of license to the same institution after revocation. |
- | - |
Punishment as per the National Penal Code, 2074
| SEC | ACTIVITIES | IMPRISONMENT | FINES |
|---|---|---|---|
| 249 | Deceiving someone for personal gain or causing loss. | Not exceeding 7 years | Not exceeding Rs.70,000 |
| 276 | Forging or using fake documents to deceive (applicable in fake job offers) | Not exceeding 5 years | Not exceeding Rs.50,000 |
| 277 | Using or presenting fake documents as real. | Not exceeding 3 years | Not exceeding Rs.30,000 |
9.2 Punishment as per the Electronic Transactions Act, 2063
| SEC | ACTIVITIES | IMPRISONMENT | FINES |
|---|---|---|---|
| 45 | Unauthorized access to a job seeker's digital or financial information. | Not exceeding 3 years Or both, depending on the offense |
Not exceeding Rs.2,00,000 |
| 46 | Tampering with or modifying digital job-related data or websites. | Not exceeding 3 years Or both, depending on the offense |
Not exceeding Rs.2,000 |
| 47 | Posting fake job ads or misleading online content. Punishment increases by 1 and a half times each time; For repeated offense |
Not exceeding 5 years Or both depending on the offense |
Not exceeding Rs.1,00,000 |
| 48 | Misusing or disclosing job seekers’ personal or financial information under false job processing claims. | Not exceeding 2 years Or both depending on the offense |
Not exceeding Rs.10,000 |
| 52 | Fraudulently using digital signature or electronic payment systems for personal gain. Illegally collecting online payments and misusing digital platforms. |
Not exceeding 2 years Or both depending on the offense |
Not exceeding Rs.1,00,000 |
9.3 Punishment as per the Labor Act, 2074
| SEC | ACTIVITIES | IMPRISONMENT | FINES |
|---|---|---|---|
| 163(1)(a) | Operating a labor supply business without license | Up-to Rs.2,00,000 | |
| 163(1)(b) | Employing a foreigner without a labor permit | To both the unlicensed labor supplier and the person hiring through such supplier. | Up-to Rs.2,00,000 An additional fine of Rs.5,000 per person per month for repeated offense |
| 163(2)(b) | Hindering labor officials / submitting false information | Up-to Rs.20,000 | |
| 163(2)(c) | Engaging trainee's contrary to law (fake internships, unpaid wages) | Up-to Rs.10,000 Order for regular employment, and payment of due remuneration and benefits |
9.4 Punishment as per the Consumer Protection Act, 2075
| SEC | ACTIVITIES | IMPRISONMENT | FINES (Rs.) |
|---|---|---|---|
| 38(a) | Failure to make the labelling | 3–6 months Or both |
50,000 |
| 38(b) | Failure of the producer, importer, carrier, seller or service provider to perform their responsibilities. | 2–3 years Or both |
3 lakhs–5 lakhs |
| 38(g) | Creating or influencing unfavorable changes in the demand, supply or price of goods or services. | 2–3 years Or both |
3 lakhs–5 lakhs |
| 38(i) | Selling or enabling the sale of goods for more than the Government approved price. | 3–6 months Or both |
50,000–1 Lakh |
| 38(l) | Supplying goods or services that fail to comply with established quality standards. | 3–6 months Or both |
50,000–1 Lakh |
10.Legal Challenges in Investigation and Justice System in regard to Foreign Employment Fraud
Investigation and justice for foreign employment fraud done within Nepal and from outside Nepal face significant hurdles. Some of the investigative as well as justice system challenges are discussed below;
Some key Investigative Challenges in regard to foreign employment fraud are outlined as follows;
Some key challenges in Justice System in regard to foreign employment fraud are outlined as follows;
11.Conclusion and Legal Advisory
The statutory framework for combating foreign employment fraud is robustly punitive, but the effective delivery of justice and compensation is consistently impaired by procedural and structural failures.
Foreign employment scams are widespread and increasing mainly targets job seekers a simple job with high pay offers. In reality, victims often face heavy financial losses, debt, the scammer steal their personal information through different online platforms for their benefits. To sum up the scammers in the first instance make the innocent people believe in their talks of good job but they make them work in very low paying jobs and in the worst situation exploit those innocent people in forced labor.
This article serves legal analysis. Individual affected by foreign employment fraud in Nepal should seek immediate consultation with a law firm specializing in Nepali labor and cybercrime law to formulate consultation with a Lawin and Partners, Law firm's expert criminal Lawyers specialized in Criminal cases.
Lawin and Partners expert Criminal Lawyers in Nepal assist both victim and offender to this kind of cases with strategic litigation, enforce execution, corporate accountability.
Our Criminal Lawyers both represent victim and offender in this nature of crime. Also if client wants to reconcile the case by funding the disputed amount of payment to victim. For victims seeking redress or entities requiring compliance advice on Foreign Employment Law, expert legal counsel is critical to successfully navigate Nepal’s challenging judicial landscape.
For professional guidance from our experienced Criminal Lawyers in Nepal feel free to Contact us via. [email protected] or can call us on +9779841933745 (available in whatsapp and viber too)
This article is intended for general informational and educational purposes only and does not constitute complete legal advice. This nature of crimes and cases in Nepal may vary based on individual circumstances, factual situations, and updates to the Criminal Code or related laws and regulations. Readers should not rely solely on this content to make legal decisions. For accurate guidance tailored to your specific case, please consult our Criminal Lawyer or legal professional in Nepal.
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