NRB Governor suspended

KATHMANDU, April 10 : The government has suspended Governor of Nepal Rastra Bank (NRB) Mahaprasad Adhikari.  It did so on Friday (April 2)  accusing him of leaking  confidential information and not fulfilling his responsibilities effectively.  A three-member  committee headed by former Supreme Court judge Purushottam Bhandari  was also formed to investigate into the very charges and  submit a report within a month.

Governor, deputy -governor and directors of the central bank  can be removed if they fail to carry ut their dutiies with due diligence, lack efficiency, harm the country's banking and financial system, or if they are found to have acted dishonestly or with mala fide intention in any transaction related to the business of the bank among other things, according to the the Nepal Rastra Bank Act-2002.

The suspension of the governor has come at a time when the country’s economy is hard hit by as severe challenges as widening Balance of Payment and declining remmittances, among others.

It may be noted that Finance Minister Janardan Sharma and Governor Adhikari had long been locking their horns.  Earlier on Friday, Minister Sharma had alleged that a  a member of the Board of Directors of NRB had bargained for the release of millions of US dollars from the account of Prithvi Bahadur Shah of Achham.   

 Deputy Governor Dr Neelam Dhungana Timalsina has been given the responsibility of Acting Governor of the country's central bank.