KATHMANDU: Standard Chartered Bank Nepal Ltd (SCBNL) has obtained Application Supported by Blocked Account (ASBA) membership from Securities Board of Nepal.

With this membership, account holders of SCBNL can now participate in initial public offering, further public offering and rights share issues from their account held with the bank, as per a media release.

To lodge their application through ASBA, investors can now easily fill the application form available at the bank’s branches and authorise the bank to block their account for the amount of shares they intend to apply. For all ASBA applications of the bank’s clients made through the bank, the funds will be debited from their account only after share allotments are made. If only partial allotment of share/s is made, the extent of fund required for actual allotted shares will be automatically debited from the bank account and the balance amount will be released by the bank. This will be done as per the advice received from the issue manager.

In the event a potential investor is unable to secure any allotment, the bank will release the ‘block’ placed on client’s bank account. The bank’s clients will continue to earn interest on application money even if the amount remains blocked in their account held with the bank.