Nepal | September 21, 2020

SEBON forms committee to look into possible illicit flow of capital at Nepse

Himalayan News Service
Share Now:

Kathmandu, July 14

The Securities Board of Nepal (SEBON) — securities market regulator — has formed a committee today to conduct investigations into big investments in the capital market on suspicion of illicit flow of capital as the daily turnover in the stock market has exceeded Rs one billion in the recent days.

The committee formed under the convenership of the executive director of the Supervision and Research Department of SEBON comprises directors of Legal Enforcement Division and Securities Businessperson Supervision Division of SEBON, representatives from Anti-Money Laundering Department of the Ministry of Finance, Central Investigation Bureau of Nepal Police and experts of the related field. The committee has been asked to submit its report within a month.

The securities market regulator has been monitoring big investors of the Nepal Stock Exchange (Nepse) since a few months as the daily turnover in the market has gone up in a substantial manner.

“The committee formed by SEBON can take further information of the big investors of the capital market from the brokerage firms,” said Rewat Bahadur Karki, chairman of SEBON.

It has been reported that the committee will keep an eye on investors whose daily transactions are over Rs five million. After the enforcement of the Anti-Money Laundering Act in the country, the brokerage firms are required to notify the securities market regulator regarding transactions of above Rs one million.

“Now, the committee can ask for further details of the investors from the brokerage firms and investigate them if the committee has suspicions on the investor’s source of income,” said Niraj Giri, executive director of SEBON.

“We are going to conduct investigations to prevent the chances of money laundering through the capital market. Primarily, this is an illegal activity and on the other hand, it will ultimately distort the sound growth of the capital market.”

SEBON further clarified that its move is not aimed at discouraging genuine investors.

“The genuine investors need not worry about the risks emanating from SEBON’s move,” Giri stated.


A version of this article appears in print on July 15, 2016 of The Himalayan Times.

Follow The Himalayan Times on Twitter and Facebook

Recommended Stories:

More from The Himalayan Times:

Photo Gallery: Rohingya refugees receive relief in Kapan amid COVID-19 crisis

KATHMANDU, SEPTEMBER 21 Hiteri Foundation provided food relief packages to long-persecuted Rohingya Muslim refugees here in Kapan on Sunday, September 20. More than 175 families are taking shelter in Kapan after entering Nepal following a mass exodus from their native Myanamar. Also seen in pi Read More...

Nepali Army soldier Nepal’s first security person to die of COVID-19

KATHMANDU, SEPTEMBER 20 Country witnessed the first death of a security person due to COVID-19. The deceased, a 34-year-old soldier of Nepali Army was posted in Kathmandu. He hailed from Ramechhap district. However, Nepali Army has not yet revealed the identity of the deceased. The deceased wa Read More...

Mane double eases Liverpool to 2-0 win over 10-man Chelsea

LONDON: Two goals from Sadio Mane just after halftime eased champions Liverpool to a 2-0 win over 10-man Chelsea in the Premier League season's first heavyweight clash at Stamford Bridge on Sunday. A dull game never threatened to live up to the eight-goal thriller when the sides met in Read More...

Son and Kane combination leads Spurs rout of Southampton

SOUTHAMPTON: Son Heung-min scored four goals set up by Harry Kane as Tottenham Hotspur came from a goal down to overwhelm Southampton 5-2 on Sunday and earn their first Premier League win of the season. In an action-packed first half at St Mary's, both sides had a goal ruled out by VAR before Read More...

Women, children highly affected by COVID pandemic

KATHMANDU, SEPTEMBER 20 The National Women Commission today organised a webinar on ‘Impact of COVID-19 on Women and Initiatives Taken by NWC and Nepal Police in Addressing Gender Based Violence Issues’ to highlight impact of pandemic on women and children across the country. According to t Read More...

Thapa vows to establish RPP as strong force

KATHMANDU, SEPTEMBER 20 Chairperson of Rastriya Prajatantra Party Kamal Thapa today pledged to establish the party as a strong force. The country would become prosperous and sovereign only by pursuing the ideology RPP as Nepal is faced with complex geo-political situation, he claimed at a virt Read More...

NCP Secretariat dwells on Cabinet reshuffle

KATHMANDU, SEPTEMBER 20 The Secretariat of the ruling Nepal Communist Party (NCP) today began discussion on Cabinet reshuffle. NCP Spokesperson Narayan Kaji Shrestha said the meeting discussed policy issues regarding the Cabinet reshuffle from different angles, but it did not take a decision o Read More...

Ministry of Urban Development

Bancharedanda landfill site to be completed by mid-October

KATHMANDU, SEPTEMBER 20 State Minister of Urban Development Rambir Manandhar said construction of a sanitary landfill site at Bancharedanda on the border of Nuwakot and Dhading districts will be completed by mid-October. During monitoring of the under-construction landfill site today, State Mi Read More...