NSMF boss Shrestha in police net
Tue, Aug 23, 2011 12:00 AM on Others,
KATHMANDU, Aug 23:
Police have nabbed Yogendra Prasad Shrestha, executive chairman of Nepal Share Markets and Finance (NSMF), for banking crime. Shrestha was on the run for more than a month after the Nepal Rastra Bank (NRB) asked Nepal Police to take action against him for violating banking law.
“Police nabbed him in Nawalparasi on Monday,” a senior official at the Ministry of Home Affairs told Republica.
Interestingly, local leaders of all major political parties, including UCPN (Maoist), Nepali Congress and CPN-UML, had exerted severe pressure on police to release him.
“Shrestha has been kept in custody as per the direction of the Ministry of Home Affairs,” said the official.
The central bank had decided to initiate a criminal action against Shrestha after he was found involved in irregularities while issuing loans worth Rs 1 billion. An NRB inspection team had also found Shrestha of making personal use of Rs 200 million that Rastriya Beema Samsthan (RBS) -- the state-owned insurer - had deposited with the NSMF.
Following the revelation of Shrestha´s criminal activities, NRB had frozen bank accounts and property of Shrestha and handed over the case to police for further investigation. It had also requested the Ministry of Finance to seize his passport to prevent him from leaving the country.
Shrstha´s action had seriously hurt credibility of the category ´C´ financial institution that had already raised its paid-up capital to Rs 2 billion and completed other formalities to upgrade itself into a commercial bank.
Source: Republica
Police have nabbed Yogendra Prasad Shrestha, executive chairman of Nepal Share Markets and Finance (NSMF), for banking crime. Shrestha was on the run for more than a month after the Nepal Rastra Bank (NRB) asked Nepal Police to take action against him for violating banking law.
“Police nabbed him in Nawalparasi on Monday,” a senior official at the Ministry of Home Affairs told Republica.
Interestingly, local leaders of all major political parties, including UCPN (Maoist), Nepali Congress and CPN-UML, had exerted severe pressure on police to release him.
“Shrestha has been kept in custody as per the direction of the Ministry of Home Affairs,” said the official.
The central bank had decided to initiate a criminal action against Shrestha after he was found involved in irregularities while issuing loans worth Rs 1 billion. An NRB inspection team had also found Shrestha of making personal use of Rs 200 million that Rastriya Beema Samsthan (RBS) -- the state-owned insurer - had deposited with the NSMF.
Following the revelation of Shrestha´s criminal activities, NRB had frozen bank accounts and property of Shrestha and handed over the case to police for further investigation. It had also requested the Ministry of Finance to seize his passport to prevent him from leaving the country.
Shrstha´s action had seriously hurt credibility of the category ´C´ financial institution that had already raised its paid-up capital to Rs 2 billion and completed other formalities to upgrade itself into a commercial bank.
Source: Republica
