Nepal Bangladesh Bank is Distributing Bonus Share Certificate

Kathmandu, Aug 13

Nepal Bangladesh Bank Limited is distributing 10% Bonus Share Certificate to its shareholders from 14 Aug, 2014 (29th Shrawan, 2071). 

4th Quarter Report and Financial Analysis of Nepal Bangladesh Bank

Kathmandu, Aug 8

Nepal Bangladesh Bank Limited has posted net profit of Rs.782.14 million on its 4th quarter financial report of the fiscal year 2070/71.

Nepal Bangladesh Bank postponed its 19th AGM as per Nepse direction.

Kathmandu, Feb 26
Nepal Bangladesh Bank Ltd. has postponed its 19thAGM as per Nepal Stock Exchange direction.

NBB told to defer AGM until share problem resolved

KATHMANDU, FEB 22

The Nepal Stock Exchange (Nepse) on Friday directed Nepal Bangladesh Bank (NBB) not to hold its annual general meeting until the problems related to the 

ownership transfer and clearance of its shares are resolved. The bank has scheduled its 19th AGM for March 11. 

The Nepal Stockbrokers Association has decided to stop trading NBB shares since they could not be cleared and their ownership could not be transferred after the Kathmandu District Court barred transfers on Dec 5.

The heart of the problem lies in a dispute between the NB Group and another big shareholder Nirmal Pradhan’s group. The court has prohibited Pradhan from selling and transferring the

Nepal Bangladesh Bank has published a notice for its upcoming AGM

Kathmandu, Feb 5,

NB Bank Limited has published a notice with details of its 19th AGM which is going to be held on 27th Falgun, 2070

2nd Quarter Report and Financial Analysis of Nepal Bangladesh Bank

Kathmandu, Feb 3

Nepal Bangladesh Bank Limited has posted net profit of Rs 271.12 million and published its 2nd quarter company analysis of the fiscal year 2070/71.

NRB bars Adhikari, Laxmi Bahadur Shrestha from sitting on bank board

KATHMANDU, SEP 11, 2012

Nepal Rastra Bank (NRB) has barred a current and a former board member of Nepal Bangladesh Bank (NBB) from sitting on the board of any bank or financial institution for the next three years for committing acts detrimental to it.

Bishnu Raj Adhikari and ex-board member Laxmi Bahadur Shrestha, who recently resigned from the bank after the central bank moved against him, have been found guilty of causing loss to the bank while auctioning its non-banking assets (NBA).

The central bank has also fined them Rs 500,000 each and ordered them to pay, within 35 days, compensation equivalent to the loss incurred by the bank. Following NRB’s decision, Adhikari has lost his position in the bank. The NRB Act 2002 allows the central bank to impose a fine up to the amount of the loss and order the bank’s board to remove the director involved in harming it.

According to the central bank, Adhikari and Shrestha caused loss to the bank when auctioning land put up as collateral at Sanepa, Lalitpur where Padma Cinema Hall stands. An NRB official said that they decided to return the guarantee amount deposited by the sole bidder for the land, Rabindra Bahadur Singh, who refused to buy the land after winning the bid. Singh, former chairman of United Development Bank, is presently in jail for banking offences committed while he was its head.

According to NRB, the guarantee amount should have been confiscated as per the existing law. Singh had offered Rs 46.7 million for the land. He had deposited a guarantee amount of Rs 4.67 million, which is 10 percent of the quoted amount, to participate in the bid. However, the bank’s credit sub-committee represented by Adhikari and Shrestha decided to the return the security deposit causing loss to the bank, NRB officials said.

However, NBB chief executive officer Gyanendra Dhungana said that the decision to return the deposit was taken after the winning bidder Singh could not take possession of the land as the default borrower refused to vacate it. “In fact, there has not been any loss to the bank,” he added.

Dhungana said that NBB has already written to its former directors to pay the amount as directed by the central bank. “As the amount is not very large, we hope to recover it soon,” he said.

Last week, NBB issued another auction notice for the land. “There were three-four bidders who didn’t offer more than Rs 33 million,” said Dhungana. “We will not sell it for less than the price offered previously.” Meanwhile, the central bank has also issued written warnings to ex-chairman Pushpa Raj Rajkarnikar, who resigned with Shrestha recently, and public director Indra Bahadur Thapa for their involvement.

Source: The Kathmandu Post

Three investors eye problematic Gurkha Dev Bank

KATHMANDU, FEB 06 - 2012

Three investors, including a foreign financial institution, have shown interest in investing in Gurkha Development Bank (GDB). The bank has been declared “problematic” by the Nepal Rastra Bank (NRB).

According to a source at the bank, a Bangladeshi financial institution, a regional level development bank in Nepal and a group of Nepali investors have shown willingness to make investment in the GDB.

“The bank is holding talks with all the three parties,” said Krishna Prasad Bhattarai, the chief executive officer of the GDB. “However, this is the first phase of discussions.”

During the first round of discussions, the Bangladeshi financial institution has shown interest in investing as a foreign joint venture partner. Similarly, a national level development bank is keen to go into merger in order to get the status of a national level development bank. On the other hand, an investment group from Nepal wants to take over the management by buying at least 51 percent of the bank’s stake.

However, all the three parties have said they will invest on the condition that the central bank redeem the bank of its “problematic” status.

“Apart from being in a problematic state, it is also difficult to bring together all the promoters at one place,” Bhattarai said. “Therefore, taking a decision will take some more time.”

NRB had put forward three conditions with the management of the bank to lift the action—recovery of defaulted loans from Abdul Kawadi, selling the JSB Financial Tower and additional capital injection.

An NRB official said the bank is in the process of recovering the loans and that the regulator will lift the action if able investors show willingness to inject capital in it.

Bhattarai said the bank has already acquired land that is in the name of Abdul Kawadi and is planning to sell it through auction. The land is likely to fetch an estimated Rs 190 million.

Likewise, the bank has signed an agreement with Centriyo Global Incorporated, a Hong Kong-based Latin American company, to sell the JSB Tower for US$ 10 million. The NRB approved the agreement, and as the first instalment, the bank has already received US$ 100,000, while the rest is expected by April 7.

According to the bank, the sale of the property will solve the bank’s liquidity problem. “After the bank was declared problematic, some of our employees have resigned and we are not allowed to hire additional manpower,” Bhattarai said. “This has seriously affected our loan recovery process.”

After being declared “problematic,” the GDB has returned deposits worth about Rs 1.9 billion, while it is yet to return Rs 2.71 billion more. It has a total lending of Rs 3.7 billion.

According to an NRB source, the possibility of loans—worth Rs 600 million given under the direction of the bank’s former Chairman DB Bomjon—being recovered is very slim.

“The collateral of the lending worth Rs 600 to Rs 800 million is very poor,” said the NRB source. “The amount was lent with a wrong intention.” According to the source, most of the plots of land kept as collateral are located on river banks.

 

Source: Kantipur