Kathmandu. There is a provision of four years imprisonment for taking and giving unauthorized loans.
Nepal Rastra Bank (NRB) has issued a notice for financial awareness. According to the Central Bank, if anyone takes or gives an unauthorized loan, then such a person will be fined and imprisoned for four years as per the Banking Offences and Punishment Act, 2064 BS.
Rastra Bank has clarified that it would be illegal for anyone to take or give loans from banks and financial institutions by submitting false, false or non-financial statements or by setting up artificial business, abnormally overvaluing the mortgage, increasing the cost of the project unnaturally on the basis of false details.
The central bank has appealed to everyone to use the loan and avoid legal penalties for misusing it.
