Deposit and Credit Guarantee Fund Act, 2017

Chapter-8

Provisions Relating to Chief Executive Officer and Employees

49. Chief Executive Officer: (1) The Government of Nepal shall appoint one Chief Executive Officer to act as the administrative head of the Fund.

(2) The Government of Nepal shall form a selection committee as follows to recommend the appointment of the Chief Executive Officer:

(a) An officer of the gazetted special class of the civil service or equivalent designated by the Government of Nepal – Coordinator
(b) Joint Secretary, Ministry of Finance – Member
(c) Executive Director, Nepal Rastra Bank – Member

(3) The selection committee formed pursuant to Sub-section (2) shall, based on prescribed criteria, select three candidates through open competition from among persons who have obtained at least a postgraduate degree in Economics, Commerce, Management, Commercial Law, Accounting, Banking, or Insurance, or who have obtained a Chartered Accountant degree, and have work experience of more than at least five years at a post of at least gazetted second class or equivalent in the economic, banking, insurance, or financial sector, and recommend them for appointment.

(4) The Government of Nepal shall, from among the persons recommended pursuant to Sub-section (3), evaluate qualifications, experience, and leadership ability, and appoint a suitable person to the post of Chief Executive Officer of the Fund.

(5) Until the Chief Executive Officer is appointed pursuant to Sub-section (4), for a maximum period of six months, the Government of Nepal may designate or depute any officer working in the Government of Nepal, Nepal Rastra Bank, or the Fund, of at least gazetted second class or equivalent rank, to perform the duties of the Chief Executive Officer.

(6) The term of office of the Chief Executive Officer shall be four years.

(7) Notwithstanding anything contained in Sub-section (6), the Government of Nepal may remove the Chief Executive Officer from office in the following circumstances:

(a) If there is a lack of competence in him/her to perform or cause to be performed the functions required to be performed under this Act,
(b) If he/she is found to have conducted the affairs of the Fund dishonestly or with mala fide intent,
(c) If he/she fails to maintain conduct commensurate with his/her position,
(d) If he/she fails to perform in accordance with the performance agreement made pursuant to Section 50, and
(e) If the achievement of his/her performance is not satisfactory.

(8) Before removing the Chief Executive Officer pursuant to Sub-section (7), the Ministry shall form an investigation committee as prescribed, under the chairpersonship of any member of the committee.

(9) The investigation committee formed pursuant to Sub-section (8) shall submit a report to the Ministry within one month.

(10) After the investigation committee pursuant to Sub-section (8) is formed, the Chief Executive Officer shall not be entitled to discharge his/her official duties.

(11) Before removing the Chief Executive Officer from his/her post, he/she shall be given a reasonable opportunity to present his/her defense.

(12) The service, terms, remuneration, and other facilities of the Chief Executive Officer shall be as prescribed.