SEBON Impose Penalties Against CIT and Nabil Investment for Late Submission of Annual Reports

Action has been initiated against two merchant bankers by the Securities Board of Nepal (SEBON). Citizen Investment Trust (CIT) and Nabil Investment Banking have been imposed penalties by SEBON. According to SEBON, the action was taken because these two companies did not submit their annual report for the last fiscal year 2078/79 within the stipulated time.

As per the official notice of SEBON, SEBON has levied fine of 10,000 rupees to both companies as per subsection (2) of section 82 of the Securities Act, 2063.

According to the Securities Traders (Merchant Banker) Regulation, 2064, both companies are subject to an Rs. 10,000 fine for submitting the annual report after the deadline because the financial year 2078/79 annual report was not submitted in a timely manner.

In 2022, Nabil Bank completed the acquisition of Nepal Bangladesh Bank, receiving all capital and financial responsibilities, and assets and liabilities.

Likewise, Nabil Investment acquired all of Nepal Bangladesh Capital's assets and liabilities, which delayed the compilation of the annual financial report and prevented the company from submitting the annual reports by the deadline.