Government Preparing Action Against Sonam Wangchuk Following Deadly Ladakh Protests: Financial Irregularities Alleged

The government is preparing to take action against Ladakhi activist Sonam Wangchuk, sources informed NDTV on Thursday, just a day after violent clashes between pro-statehood protesters and police in Leh. The violence resulted in four fatalities and at least 80 injuries, with a BJP office being vandalized and a CRPF vehicle set on fire.

Following the outbreak of violence and the subsequent curfew announced by Lieutenant Governor Kavinder Gupta, the Home Ministry specifically blamed Mr. Wangchuk. They claimed that his "provocative speeches" motivated a mob to attack the BJP office and the local election officer's premises.

The government has also suggested a "conspiracy" behind the protests, which have been ongoing for years as Ladakh residents demand statehood and protection under the Constitution's Sixth Schedule. Officials alleged this "conspiracy" influenced Ladakh's "Gen Z" population, portraying them as unwitting participants in a "sinister plot for political and personal gain."

Regarding Mr. Wangchuk's alleged involvement, government sources told NDTV that "serious financial irregularities" had been discovered in his nonprofit organization's operations, including multiple violations of the Foreign Contribution Regulation Act (FCRA). The investigation reportedly focuses on potential money laundering.

Among the alleged violations is his organization, the Himalayan Institute of Alternatives, accepting approximately Rs 1.5 crore from foreign sources before applying for an FCRA license.

Sources claimed the nonprofit may have improperly routed domestic funds through an account designated for foreign funds. They noted that donation amounts increased dramatically from Rs 6 crore in 2023/24 to over Rs 15 crore in 2024/25, distributed across seven accounts.

However, HIAL allegedly failed to declare four of these accounts, according to government sources.

Another potential violation involves the organization's failure to declare revenue from foreign sources in 2020/21 and 2021, which would violate the Companies Act and potentially constitute forgery, according to sources.

These allegations extend to claims of fund diversion, particularly focusing on a company called Sheshyon Innovation Pvt. Ltd., established with Mr. Wangchuk and Geetanjali JB (another HIAL founding member) as directors. Approximately Rs 6.5 crore in excess reserve funds from HIAL were allegedly diverted to this company.

Sources further alleged that funds were transferred to personal accounts, directly violating FCRA regulations.

Additional violations have reportedly been identified with the Students Educational and Culture Movement of Ladakh (SECMOL). Of its nine accounts, six are allegedly undeclared.

Sonam Wangchuk, widely recognized as the face of the Ladakhi statehood movement, was conducting a hunger strike to advocate for this demand. Anticipating government action against him, he told PTI news agency that he is prepared to be arrested under the Public Safety Act.

"I see they are building up a case to bring me under the Public Safety Act and throw me in jail for two years," he stated, adding, "I am ready... but a Sonam Wangchuk in jail may cause them more problems than a free Sonam Wangchuk."

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