The incident took place around 6:30 AM when a SSB patrol party saw some suspicious activity along the Ambari-Kesna border post and began a "hot pursuit" of the suspected diesel smugglers.
Nepal's Armed Police Force (APF) personnel deployed at the Border Account Post at Kechana Village in Jhapa district, bordering Bihar's Kishanganj district, detained the SSB jawans when they entered the country, Nepal Police sources said.
All 13 SSB personnel were later released after being kept at APF camp in Kechana for nearly five hours.
SSB Chief B D Sharma in New Delhi told PTI that the 13 personnel had been freed and "are back in Indian territory".
"We appreciate the cooperation extended today by our counterparts on the Nepal side and I have ordered a Court of Inquiry into the incident so that corrective action can be taken and such incidents do not occur in the future," he said.
Sharma said there has been no 'bodily harm' to the SSB personnel and that they have been extended due courtesies by APF. The paramilitary force guards the 1,751 km-long open frontier with Nepal.
"The troops are back (in India) with all their belongings and weapons," the officials said.
Nepal's Jhapa District Assistant Chief Officer Dambaru Prasad Niraula said the SSB jawans were handed over to the Indian side after an investigation into the incident.
"They (SSB jawans) were quizzed on reason for entering Nepal," Niraula added.
The SSB personnel were taken to Jhapa district and a field commander meeting was convened immediately after the heads of the two forces spoke to each other.
Relations between India an Nepal have nosedived in recent months as Indian-origin Madhesis protesting against the new Constitution have blocked key border trade points with India, causing severe shortages of fuel and other essentials.
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