Kathmandu. The Supreme Court has dismissed the writ petition seeking to stop the distribution of new stock exchange licenses. With this, the way has been opened for the Nepal Securities Board to distribute new stock exchange licenses.
A constitutional bench of Chief Justice Prakash Man Singh Raut and Justices Sapana Pradhan Malla, Kumar Regmi, Hari Prasad Phuyal and Manoj Kumar Sharma on Wednesday dismissed the writ petition seeking to stop the new stock exchange licenses. Krishna Bahadur Thapa had filed a writ petition last month demanding to stop the new stock exchange licenses.
During the tenure of Ramesh Kumar Hamal, the Securities Board had opened applications for distributing new stock exchange licenses. At that time, the Himalayan Stock Exchange, National Stock Exchange, and Annapurna Stock Exchange had applied for licenses in the securities industry.
Even after the Securities and Exchange Board of Nepal opened the applications and received them, there was a lot of opposition and criticism against the government’s move to introduce a new stock exchange. The government then formed a study committee to study the need for a new stock exchange.
The study committee submitted a report with suggestions to bring a new stock exchange as per the needs and restructure the current Nepal Stock Exchange.
Based on the same report, the Securities and Exchange Board of Nepal has assigned the task force to submit an action plan for licensing the new stock exchange and restructuring the Nepal Stock Exchange.
