Himal Press 
KATHMANDU: Nepal Rastra Bank (NRB) has penalized four commercial banks for flouting its norms.
The Bank Supervision Department of the central bank took action against four banks for flouting Money Laundering Prevention Act and Regulations, while cautioning five other banks.
The central bank has handed a fine of Rs 5 million each to Prabhu Bank, Kumari Bank, Bank of Kathmandu, which has now merged with Global IME Bank, and Prime Commercial Bank.
Prabhu Bank has also been cautioned for flouting a provision related to credit information and blacklisting. The NRB has also cautioned Machhapuchhre Bank Ltd for three offences – not counting risk-weighted assets, not furnishing actual capital adequacy details and increasing premium rate on loans after credit expansion.
Similarly, the NRB has cautioned Sanima Bank Ltd for providing facilities and benefits to its then CEO flouting the rules prescribed in the Banks and Financial Institutions Act.
The central bank also cautioned the then Nepal Investment Bank Ltd and Civil Bank Ltd for increasing the premium rate after extending loans.
The NRB has also cautioned Nabil Bank for its failure to implement Know Your Customer (KYC) related provisions.
