Himalayan Reinsurance Limited Resume New Business After Two-Month Restriction

Himalayan Reinsurance Limited has been allowed to resume underwriting new business after a two-month restriction imposed by the Nepal Insurance Authority expired at the end of the last fiscal year.

The regulator had barred the company from taking on new business until the end of Ashad following an investigation linked to an alleged money laundering case. According to the Nepal Insurance Authority, no decision has been made to extend the restriction, effectively allowing the reinsurer to resume normal business operations.

The action was taken after authorities alleged that company funds had been used to purchase shares in the name of controversial businessman Deepak Bhatt. The case filed by the Department of Money Laundering Investigation remains under judicial review.

Although Himalayan Reinsurance can now write new business, the government has shifted the responsibility for operating the national insurance pool to Nepal Reinsurance Company through the budget for the current fiscal year.