Arjun Bahadur Shahi has been arrested on the charge of threatening an employee by calling him Gen-G. He was arrested by District Police Complex, Kathmandu.

According to Valley Police Chief Dan Bahadur Karki, he was taken into custody for questioning and investigation by the police after receiving a complaint about his activities. 

He used to meet the heads of various government offices to submit memorandums after the Gen-G movement. Civil Aviation Authority, Nepal Airlines Corporation employees also complained about his activities. When searching about him, who used to go around demanding the resignation of employees, it was revealed that he was also accused of foreign fraud and banking crimes. 

He was arrested on 28 Baisak 2082 by the Valley Crime Investigation Office for the crime related to foreign employment. He was also a candidate in the by-election in Ilam 2. He got 55 votes by running as an independent candidate.