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One of Nepal’s biggest banks in terms of both capital and business, NIC Asia, has been found involved in unlawful practices to maximize profits.

The bank, which has earned a reputation for trying to unethically attract fixed deposits by offering sky-high interest rates, has even defied directives from the central bank.

The bank, which had hiked its interest rate on fixed deposits to 11.1 percent per annum last week, was forced to reduce it to under 10 percent following a directive from the Nepal Rastra Bank. However, it is found to have issued FDs at 11.1 percent by backdating the receipts for fixed deposits it received.

Following the ‘interest rate war’ between commercial banks, the central bank this week said that banks can only increase the interest rates on fixed deposits by up to 10 percent every month. The central bank also directed banks that had already published the new rates to make public new rates by complying with the directive.

Also read: Strange silence on Sanima’s governance flaws

NIC Asia’s increase in FD rates to above 10 percent has increased its cost of funds and put its borrowers in the line of fire. The bank has been calling up its borrowers to increase interest rates on their loans despite offering them stable interest rates for the entire duration of their loan period. 

Economists believe that the decline in workers’ remittances, and rapid expansion of credit and regulatory changes in the new fiscal year have led to a liquidity problem in the market.

According to Bizmandu, NIC Asia offered loans with 18-year tenures at just eight percent per annum rate assuring borrowers that the interest rate would remain stable for the entire period. However, these days, the bank is shamelessly calling up such borrowers to pressure them to agree to higher rates. If they don't, the bank is asking the borrowers to pay up the entire loan amount.

Despite these malpractices, the NRB is yet to act against the bank.

The country's central bank is turning a blind eye to corporate governance flaws in Sanima Bank, despite calling it out in its previous reports, it has been revealed.

The central bank, in its report for the bank two years ago, had said that the bank's big investors, board members and high-ranking officials facilitated big investments in other companies they are associated with.

However, two years after the report, the central bank is yet to take action against the bank, Jana Astha reports. According to the report, the central bank hasn't sent a monitoring mission in the past two years, despite the previous report's flags.  

Also read: Central bank flags NCC Bank’s wrongdoing

The NRB report had said that board members, investors and high-level officials of the bank invested in Sanima Hydropower, Sanima Mai Hydropower and Sanima Life Insurance companies in a possible conflict of interest. It was also found that cash was exchanged between board members, the head of the legal division and other officials.

The central bank has, however, remained mum on the issue. Board members of the central bank agree that action should have been taken against the bank based on the report.

Sanima Bank's CEO Bhuwan Dahal dismissed the report saying that it doesn't cite any provisions mentioned in the central bank's unified directives. He told Jana Astha that such reports don't have any standing.

The central bank has objected to Nepal Credit and Commerce Bank's decision to appoint three deputy CEOs. The bank, which entered into mergers with a number of development banks, went against the norms in the name of management of senior officials, the central bank has held.

Central bank officials who visited the bank's headquarters two years ago had flagged the issue, but NCC Bank hasn't rectified its decision, clickmandu.com reports. The bank appointed Bandana Pathal and Rewant Kumar Dahal to the position of deputy CEO two years ago. Sandeep Prasad Pandey was appointed to the same post just five days later.

Also read: Nepal SBI Bank misusing employee money

The central bank had directed NCC to consider the bank's size and the volume of its business before adding further financial burden on itself. The bank's decision to form eight different committees of board members has also not gone down well with Nepal Rastra Bank. The central bank requires that at least four such committees be established. But the bank has gone overboard and established eight committees.

The central bank's monitoring mission had also found that the management didn't maintain records of the board members' attendance in board meetings, and of the qualifications of board members. Similarly, all members of the board haven't signed the minutes of board meetings.

MAW Life, the authorised importer of Jeep Brand in Nepal rolled out the iconic off-roading SUV Jeep Wrangler in Nepal. His Excellency Mr Randy Berry, Ambassador of USA to Nepal, has unveiled the Jeep Wrangler in an exclusive launch event organised at Jeep Showroom, Naxal.

The most instantly identified vehicle in the world, Jeep Wrangler comes in both two-door and four door. The two door Wrangler is available in Rubicon trim while the four door Wrangler also known as ‘Wrangler Unlimited’ is available in Rubicon and Sahara trim.

Commenting on the launch of the Wrangler, His Excellency Randy Berry, said, “It is a matter of pride to us that the vehicle that is linked to US history has come to Nepal. We wish that US-Nepal trade and investment relations will flourish in the future.”

Likewise, Mr Vishnu Agarwal- Managing Director, MAW Group said, “We are delighted to offer the Jeep Wrangler in Nepal. Jeep Wrangler is the most iconic model and brings JEEP brand heritage along with it.”

“We had been working hard to bring it to Nepal as we were receiving lots of enquiry for it since we launched Jeep Compass in 2018,” he added.

The most capable SUV ever made

The most capable 4x4 SUV ever made, the Jeep Wrangler comes with a Trail Rated badge pointing to its impressive off-road capabilities.

Powering Jeep Wrangler is a 4-cylinder, inline, 2.0-litre turbocharged petrol engine that delivers 201 Kw and 400 Nm of peak torque. The engine is paired with an 8-speed automatic transmission. The Rubicon trim gets a Jeep RockTrac 4x4 AWD system featuring a two-speed transfer case. The vehicle boasts of a 217mm ground clearance.

The iconic design

The Wrangler sports the typical Jeep look with the Jeep CJ-inspired keystone-shaped seven-slot grille and round reflector LED headlights with LED DRLs. Also available are LED front fog lamps and square LED tail lamps. It also has a fold-down windshield and removable hard roof and doors in the Wrangler Rubicon. There are 17-inch alloy wheels with mid-gloss black pockets with trapezoidal wheel arches. All these styles make the Jeep Wrangler, the most recognised vehicle.

Premium interior

Inside the cabin of Jeep Wrangler Rubicon, you will come across a leather dashboard, leather seats and leather-wrapped multifunction steering wheel, gear selector, transfer case and parking brake. There is the fourth-generation 8.4-inch UConnect touchscreen infotainment system with Apple CarPlay and Android Auto connectivity. Also available are features like 7-inch driver MID, dual-zone air conditioning, engine stop/start, cruise control, ambient lighting and weather-proof push-button start.

Loaded with best safety features

Jeep Wrangler comes with 75 passive and active safety and security features. Some of these features include park assist system, rear backup camera, ESC (electronic stability control), TSC (trailer sway control), HSA (hill start assist), HDC (hill descent control), ERM (electronic roll mitigation) and TPMS (tyre pressure monitoring system).

Price

Jeep Wrangler Rubicon: Rs 2,69,00,000/-
Jeep Wrangler Unlimited Sahara: Rs 2,67,00,000/-
Jeep Wrangler Unlimited Rubicon: Rs 2,79,00,000/-

Key notes for Jeep Wrangler

• The iconic Wrangler- the most capable production 4X4 vehicle in the world.

• Its style is original, authentic and capable, and is rooted to the Willys' MB 1941. 

• An authentic off-roader that inspires its owner to dream and delivers on the values of Freedom and Adventure time and again.

• The iconic design of the Wrangler is legendary.

• Customers around the world immediately identify with its legendary styling cues- the vertical seven-slot grille, flanking round headlamps, trapezoidal wheel arches, detachable roof and doors, square shaped tail lamps and fold-down windshield.

• Wrangler is built in line with Jeep's tagline that ‘Go Anywhere, Do Anything’. Its objective is simple: delivering the Freedom.