Chairperson Shrestha has been accused of embezzling over Rs. two million accumulated from the public as savings amount by showing fake loan. [break]
Victim depositors have called on Rastra Bank governor, Finance Minister and Home Minister demanding the regulatory body Nepal Rastra Bank bring the absconding Shrestha to book, take legal action him and assure clients to the security of deposits by resuming the operation of the financial institution.
It has been found that there has been no account of fixed deposit of a number of clients in the Finance though a receipt of the fixed deposit - the aggregate amount of principle and interest the financial institution pays back to client at maturity – is issued, complained depositors.
Fixed deposit Accounts of about Rs. 300 million have not been found in the finance company and it has been disclosed that Shrestha has deposited the amount in Star Savings and Credit Cooperative run by his close relatives.
The accounts lapsed from the financial institution include the Welfare Fund of the Nepal Army and Citizens Investment Fund.
Absconded Shrestha is said to stay in New Delhi now. Efforts are being made to appoint a new Chief Executive Officer to operate the finance as per the latest information received.
Depositors have been updating themselves about the latest development regarding the finance company by holding meeting with its board members on every Friday.
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