Kathmandu. KATHMANDU: The Nepal Insurance Authority (NEA) has directed the Chief Executive Officer (CEO) of Nepal Insurance, who has been found guilty under the Prevention of Money Laundering Act and Insurance Act, not to work in the office. <\/p>\n
The case was filed at Kathmandu District Court, Patan High Court and Special Court against the CEOs of 5 micro insurers and one life insurer. “Among them, the CEOs found guilty under the Money Laundering Prevention Act and Insurance Act have been directed not to carry out their office work,” said NEA Deputy Director Birodh Bhatta, adding, “Now preparations are underway to send similar directives to the directors and other employees of the insurers found guilty.” The letter will be issued to the insurers only after the Securities Board of Nepal sends a letter to those found guilty under the Securities Act. \u2019<\/p>\n
Despite the legal provision of automatic suspension after the charge sheet is filed in the court, the CEOs, directors and employees of some insurers were working in the office regularly. “There is a provision to be automatically suspended after filing a case in the court, but the letter was sent after we got information that the suspended CEOs of some insurers are working in the office,” Bhatta said, “It will take a few days to get the letter cut as the charge sheet has been filed against many directors and employees of the insurer.” \u2019<\/p>\n
Section 142 of the Insurance Act has the provision of automatic suspension from the post if an offender is charged under Section 140. Apart from this, Section 27 of the Money Laundering Prevention Act has a provision that if a case is filed under Section 22, such employee, office bearer or civil servant shall be automatically deemed to be suspended until the case is settled. <\/p>\n
The authority can take two types of action against those who violate the Insurance Act. In the first case, each can be punished with a fine of Rs 2 lakh individually. As a second option, if they are acquitted by the court of violation of the law, the authority can also take action for suspension again. It is said that the authority has now sent a letter directing those who have been suspended to stop working and further legal action will be taken if they refuse.<\/p>\n","protected":false},"excerpt":{"rendered":"
Kathmandu. KATHMANDU: The Nepal Insurance Authority (NEA) has directed the Chief Executive Officer (CEO) of Nepal Insurance, who has been found guilty under the Prevention of Money Laundering Act and Insurance Act, not to work in the office. The case was filed at Kathmandu District Court, Patan High Court and Special Court against the CEOs […]<\/p>\n","protected":false},"author":16,"featured_media":245582,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[45031,45159,45099],"tags":[],"class_list":["post-303691","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-banner-news-en","category-news-en","category-regulatory-en"],"acf":[],"_links":{"self":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/303691","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/users\/16"}],"replies":[{"embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/comments?post=303691"}],"version-history":[{"count":1,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/303691\/revisions"}],"predecessor-version":[{"id":303692,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/posts\/303691\/revisions\/303692"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/media\/245582"}],"wp:attachment":[{"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/media?parent=303691"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/categories?post=303691"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/insurancekhabar.com\/ikbrapi\/wp\/v2\/tags?post=303691"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}