Kathmandu. Nepal Rastra Bank (NRB) has become strict on cheque dishonour. The central bank has introduced a strict system in the process of blacklisting cheque dishonour.
For this, the Rastra Bank has amended the unified directive issued for banks and financial institutions and brought additional provisions. Nepal Rastra Bank (NRB) has added a provision to blacklist the account holder issuing the cheque if it is proved to be dishonouring the cheque in case the amount is not stored in the account or the balance is not sufficient. A provision has also been added to include the account holder issuing the cheque in the blacklist if the cheque is returned in any other case except when the cheque holder can confirm that the details mentioned in the check are correct even if there is sufficient reserve in the account.
According to the ‘Procedure for Certifying Dishonour of cheque, 2082 BS’, the holder has to apply to the concerned bank or financial institution to blacklist the account holder and the parties associated with it if the amount is not in the account or if the balance is not sufficient for payment.
Similarly, the central bank has also brought a provision to apply to the concerned banks and financial institutions to blacklist the cheque within six months from the date of proving disrespect.
According to the revised directive, the concerned bank or financial institution will have to send a letter to the Credit Information Center within five working days of the receipt of the application to blacklist the person, firm, company or institution and the parties associated with it.
Now you will have to give 7 days time except public holidays to pay the cheque amount. If the amount is not paid within that date, then on the request of the holder, the person or organization issuing the cheque and its related parties should be sent to the Credit Information Center to blacklist.
Similarly, if any person, firm, company or organized organization issues a cheque to be returned in any situation other than when the holder can confirm that the details mentioned in the check are correct, then the concerned bank or financial institution should inform such person, firm, company or organized organization issuing the cheque by giving seven days time other than public holiday to pay the amount of the cheque. Nepal Rastra Bank (NRB) has made it mandatory to send a letter to the Credit Information Centre to blacklist the person or institution issuing the cheque and its related parties at the request of the holder if the amount is not paid within that date.
Even if the cheque is returned without payment, the bank or financial institution issuing the check will have to prove that the cheque has been returned without payment. Within six months from the date of verification of the return of the cheque, the holder will have to apply to the concerned bank or financial institution to blacklist the person, firm, company or institution issuing the cheque and the parties related to it. According to the unified directive, the concerned bank or financial institution has to send a letter to the Credit Information Center within five working days of the receipt of the application to blacklist the person, firm, company or institution and the parties associated with it.
Similarly, in case the cheque is dishonored or returned and included in the blacklist, the name can be removed from the blacklist if the person, firm, company or organized organization pays the amount of the cheque to the holder or if the amount is kept in the balance to be paid to the holder or if the concerned bank or financial institution receives information that the settlement has been made according to the prevailing law.
