Saturday, March 26, 2011

Rs 270 million withdrawn on single day from problematic Gorkha Development Bank

Account holders of Gorkha Development Bank, declared problematic by Nepal Rastra Bank (NRB) on Thursday, have withdrawn Rs 270 million on a single day Friday, Nagarik daily reported.

Account holders thronged the bank's central office in Putalisadak and various branches to withdraw their deposits after the central bank declared it problematic and banned it from collecting deposits and issuing credit.

NRB declared the bank problematic after it established grave irregularities in issuing a credit of Rs 124.1 million to Abdul Kawadi and buying land worth Rs 0.9 billion in Kamaladi.

NRB had found the bank paid Rs 0.3 billion as advance for the land from the account of one of its clients.

NRB is preparing to suspend GDB executive chair DB Bamjan from his post and fine him Rs 0.5 million as per the Banking and Financial Institutions Act. nepalnews.com

No comments:

Post a Comment