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passports of bank defaulters seized

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News item 22-12-2006

As the government is facing criticism for not taking strong action against willful defaulters, the government has decided to seize the passports of all blacklisted willful defaulters. Monday's cabinet meeting also decided to bar them from transferring ownership of or selling their fixed assets. According to reports, the policy will be implemented initially for businessmen defaulting more than Rs. 50 million. According to Nepal Rastra bank, the decision will affect about six dozen blacklisted defaulters. "Many top businessmen from big business houses will now be restricted from flying abroad or selling their property," The Kathmandu Post daily reported. However, blacklisted defaulters will be allowed to sell their fixed assets for the purpose of servicing their outstanding debts. Similarly, the businessmen will be losing their credit and debit banking cards and will also be barred from assuming the position of director or promoter of any company.

 

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