In the second quarter of the current financial year, Nepal Rastra Bank has taken action against the Chief Executive Officers (CEOs) of 15 financial institutions. Rastra Bank has alerted the Chief Executive Officers of seven development banks and eight finance companies on the charge of misuse of subsidized interest loans.

"In the report submitted by the consultant appointed to study the feasibility of re-loan, business continuity loan and subsidized loan, the related institution has submitted a report to this bank prepared by the internal audit of the institution in relation to the loans that have been confirmed as having been misused or suspected to be misused among the loans flowed from those institutions," It is said in the report of Rashtra Bank, "As disclosed in the report, some of the subsidized loans from the institutions were not utilized, so the guidance regarding subsidized loans And since the instructions issued by this bank have been violated, the chief executive officers of 7 development banks have been alerted to the executive heads of those financial institutions in accordance with clause (a) of section 100 of Nepal Rashtra Bank Act, 2058.'

Lumbini Development Bank , CEOs of Mahalaxmi Development Bank, Kamna Seva Development Bank, Muktinath Development Bank, Salpa Development Bank, Garima Development Bank and Saptakoshi Development Bank have been taken into action.

CEO of Samriddhi Finance Company, Pokhara Finance, Progressive Finance, ICFC Finance, Janaki Finance Company, Central Finance, Reliance Finance and Goodwill Finance have also been taken into action, according to Rastra Bank.

In the second quarter of the current financial year, Nepal Rastra Bank has taken action against two development banks and two finance companies. The National Bank has taken action against those institutions for violating the regulatory system. Garima Bikas Bank, Karnali Development Bank, Pokhara Finance and Central Finance are among those who will suffer this action.