KATHMANDU: In the first quarter of the financial year 2080/81, the Nepal Rastra Bank, the country’s central bank, has taken action against six commercial banks for non-compliance with its regulatory guidelines.
NRB’s Supervision Department has specifically named Himalayan Bank, Laxmi Sunrise Bank, NMB Bank, Nabil Bank, NIC Asia, and Citizen Bank for various violations.
Laxmi Sunrise Bank has been fined a substantial Rs 70 lakh for breaching the Asset Clearance Act, while Himalaya Bank faces a penalty of a staggering Rs one crore 67 lakh 71 thousand for failure to adhere to loan operation standards.
The Board of Directors of NIC Asia, NMB Bank, Nabil, and Citizen Bank have been notified by Nepal Rastra Bank about their respective violations.
Nabil Bank was found to have raised interest rates against Rastra Bank’s instructions, NMB Bank was observed to be misusing subsidized loans, and Citizen Bank was reprimanded for poor management of loan losses.
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