This article will provide you detailed legal provisions relating to Blacklisting Process in Nepal.
Table of Contents
What is blacklisting?
Blacklisting simply means listing individuals and organizations as unacceptable or banned based on their unethical or untrustworthy past history. Under banking sector, they are those involved in financial wrongdoings in the past whereas under Public Procurement sector, they are those engaged in unethical behavior related to operation and completion of public projects. An individual when placed under blacklist, is restricted to enjoy various state benefits.
Blacklisting Process in Nepal by Credit Information Bureau
Individuals who default on loans either by failing to pay back or misusing loan, write cheques with insufficient funds etc. are blacklisted by CIB at the request of concerned banks and financial institutions.
Conditions of Blacklisting under banking sector in Nepal
- Individual, firm or company that fail to repay the loan taken from bank
- Those involved in cheque bounce (Insufficient fund, mismatch of signature, stop- payment after issuance of cheque without a valid reason)
Process of Blacklisting for Cheque Bounce in Nepal
Step 1: Go to the bank for cheque clearance. In case of insufficient fund, bank will provide you with insufficient fund slip.
Step 2: Visit the bank for cheque payment after 2 working days. In case of insufficient fund, notify the bank regarding it.
Step 3: Bank will send a written 7 day-notice to the account holder.
Step 4: Even if the payment is not made after 7 days, the individual shall file application for blacklisting to the concerned bank or financial institution. It should be done within 6 months of issuance of cheque.
If the concerned bank or financial institution does not proceed for blacklisting under above circumstances, it shall be penalized accordingly.
Blacklisting by Public Procurement Monitoring Office in Nepal
PPMO oversees the public procurement and blacklists the erring suppliers contractors consultants and service providers thereby restricting them from taking part in future public procurement for certain years. The prevailing law to govern this in Nepal is Public Procurement Ac, 2063.
Blacklisted Organizations
PPMO publishes the list of blacklisted organization. You may visit their website to go through it.
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