Police arrested Thupten Gelek when he was about to leave for New Delhi of India from Kathmandu on an Indigo Airlines flight (6E032). He was carrying 210 notes of Rs 1,000 denominations and 307 notes of Rs 500 denomination.
Police found the notes hidden inside a suitcase during a security check.
Prime Minister Narendra Modi on November 8 had announced the ban on banknotes of Rs 1,000 and Rs 500 denominations.