Kathmandu. Nepal Rastra Bank (NRB) has warned of action against those misusing loans.
In a notice issued today for financial awareness, the central bank has said that there is a provision to take action for misusing the loan. Misuse of loans is considered a banking offence as per the Banking Offences and Punishment Act, 2064 BS.
Rastra Bank has made it clear that the person or institution taking loan should use the loan only for the purpose for which it has taken loan facility from banks and financial institutions.
According to the NRB, if anyone commits such an act, then according to the provisions of Sub-section 2 of Section 15 of the Act, there will be a fine and imprisonment according to the amount of the offence.
