KATHMANDU:The Central Bureau of Investigation (CIB) has already been started investing the case related to embezzlement of loan amount worth more than 2 billion by Prabhu Bank Chief Executive Officer (CEO) Ashok Sherchan.
According to an investigation officer of CIB, CEO Sherchan has provided more than Rs 2 billion loan to Janaki Medical College in the name of a relative, Chirayu Hospital, and provided various loans to other unprofitable institutions.
According to a highly placed source, CIB had receieved a complaint against CEO Sherchan and Prabhu Bank two months ago. After receiving the complaint, the CIB has started investigation and asked the bank to provide all the details related to borrower on January 26. It is said that the Bank had provided the file of borrower after few days.
An investigation officer of CIB said, ‘We have started investigation by collecting the file regarding the complaint of embezzlement of huge amount by Prabhu Bank’s CEO including officers, now the stages of investigation have been advanced to next level, the results should come out as soon as possible.’
It is noted that Nepal Rastra Bank has written recommendation to CIB to investigate the case against Prabhu Bank and Sherchan in related to embezzment of loan amount. However, Prabhu Bank has continuously provididing loans to Janaki Medical College.
According to the Prabhu Bank source, CEO Sherchan has been successful to hold the case by using the high level stakeholders, politicians and public post holders.
According to the rules of the Rastra Bank, the executive heads, directors of the banks and financial institutions, could not provide loan to the institutions run by the family members and relatives.
