Securities Board Cracks Down on 88 Companies for Delayed Financial Statements Submission

Securities Board of Nepal took punitive measures against 88 listed companies for their failure to submit financial statements within the stipulated timeframe. President Ramesh Hamal conveyed that the board penalized organizations for the delayed submission of the fourth-quarter financial statements for the fiscal year 2079/80.

This move marks a significant development in the board's history, as it is the first instance where such action has been taken against a substantial number of listed companies. President Hamal mentioned that fines were imposed even for companies that were only a day late in submitting their financial reports, underscoring the board's commitment to timely compliance.

Out of the 88 companies subject to prosecution, 69 ultimately submitted their financial statements, albeit belatedly. The board imposed fines at a rate of Rs 50,000 per company for those in this category. Additionally, 19 companies that failed to submit financial statements were fined at a higher rate of 1 lakh rupees per company. Notably, a significant portion of the tardy submissions came from microfinance and hydropower companies.

The fines serve as a disciplinary measure to ensure listed companies adhere to the regulatory requirement of timely submission of financial statements, highlighting the board's dedication to maintaining financial transparency and accountability within the securities market.

These are the list of listed companies involved in the action: