Kathmandu. Out of the loans invested by the Employees Provident Fund in projects and organized organizations, about Rs 4 billion has turned into bad loans.
Fund’s fiscal year 2080. According to the financial report of Rs 81, the fund is yet to recover Rs 3.99 billion out of its loan investment in 11 business entities, including six different companies, four industries and one hotel. This amount includes interest that is yet to be recovered along with the principal. fiscal year 2019. By the end of 1980, the total amount of Rs 1.19 billion in project loans could not be recovered and turned into bad loans.
The investment made by the Provident Fund in businessman Sudhir Basnet’s Kohinoor Housing and another businessman Ichharaj Tamang’s CTC Mall has turned into a bad loan after it could not be recovered for a long time. Similarly, the Fund had invested Rs 310 million in Fulbari Resort.
The fund last fiscal year 2080. A total of Rs 87.32 billion has been invested in projects and organized organizations. Before the fiscal year 2079. A total of Rs 84.32 billion was invested in loans and loans to projects and organized institutions in 1980.
The Office of the Auditor General has suggested in its 62nd report to recover the principal and interest of the loan after further investigation as the loan investment and recovery procedure and agreement of the employees’ provident fund has not been recovered as per point number 8.2.3 (b) of the Fund’s Loan Investment and Recovery Policy 2077 BS.
fiscal year 2019. Upper Tamakoshi Hydropower Company Limited had to make a provision of 5 percent loss by placing it in the monitoring list as the installment and interest were not received in mid-July.
The fund has not recovered the principal installment and interest amount of the loan given to Nepal Airlines Corporation for the purchase of two A320 narrow-body Airbus and one A330 widebody aircraft in the fiscal year 2080 BS. The capitalization has crossed Rs 28.57 billion as of 2019-19.
