Kathmandu, Sept 22 (RSS): The Central Investigation Bureau (CIB) of Nepal Police has arrested 11 employees including a former chief executive officer of the Bank of Kathmandu for bank fraud-providing loan with the mortgage of the waterside land. Those arrested are former CEO Ajay Shrestha, borrower Surendra Shrestha, and former and existing employees at the bank.
The police investigation revealed that borrower Surendra Shrestha had provided loans with fake documents. Investigation into the bank staff arrested on different dates is underway, said Police Spokesperson, Bel Bahadur Pande. Shrestha had burrowed Rs 45 million with the mortgage of the land belonging to the river area
Former CEO Ajay Shrestha was arrested last Friday. He had provided loan three years back.
The legal provision is that they could be kept in detention for 60 days, the police said, adding that the bank had committed monetary damages with the fraud.