chhatramani/nepal_legal_acts_corpus_english huggingface dataset:
Seeds Act, 1988

16.4 A person possessing the prescribed qualifications wishing to obtain a license pursuant to sub-section 16.3 must pass the examination conducted by the Committee. 16.5 A person who has passed the examination pursuant to sub-section 16.4 shall submit an application to the Committee in the prescribed format along with the prescribed fee to obtain a license to operate a business as a Crop Inspector, Seed Sampler or Seed Analyst. 16.6 Upon receipt of an application pursuant to sub-section 16.5, the Committee shall, upon payment of the prescribed fee, issue a license on the prescribed conditions and format. The license issued in this manner shall remain valid for two years. 16.7 A license issued pursuant to sub-section 16.6 shall be renewed as prescribed. 16.8 If the license is not renewed pursuant to sub-section 16.7, such license shall be automatically cancelled. 16.9 Other provisions relating to the examination pursuant to sub-section 16.4 shall be as prescribed. Amended by the Seed (First Amendment) Act, 2064.17. Functions, Duties and Powers of Crop Inspector, Seed Sampler and Seed Analyst: The functions, duties and powers of the Crop Inspector, Seed Sampler and Seed Analyst shall be as prescribed. Added by the Seed (First Amendment) Act, 2064.17A. May Levy Service Fee:

17A.1 The Amended by the Act to Amend Some Nepal Acts to Make them Consistent with the Constitution of Nepal, 2075. Government of Nepal or the Provincial Government may, by publishing a notification in the Nepal Gazette, levy a prescribed service fee for any service provided under this Act. 17A.2 Any person or institution providing any service under this Act may levy a service fee as approved by the Committee. 18. Recognition by the Government of Nepal:

The Government of Nepal may, after consulting the Committee, by a notification published in the Nepal Gazette, recognize any domestic or foreign or international institution testing or certifying seeds Added by the Seed (First Amendment) Act, 2064. or testing varieties for the purposes of this Act. Amended by the Seed (Second Amendment) Act, 2079.18A. Farmers' Rights: (1) Farmers shall have the right to ownership, variety selection, conservation and distribution of local seeds or varieties or agricultural crop seeds traditionally used and practiced in Nepal.

(2) Any farmer group in Nepal may register under prevailing law local seeds or varieties or agricultural crop seeds traditionally used and practiced collectively by that group, in the name of such farmer group with collective ownership. Added by the Seed (Second Amendment) Act, 2079.19.
Seeds Act, 1988

Added by the Seed (Second Amendment) Act, 2079.19. Penalties:

19.1 If anyone operates a laboratory without obtaining a license pursuant to Section 9, they shall be liable to a fine of Amended by the Seed (Second Amendment) Act, 2079. fifty thousand to one hundred thousand rupees or imprisonment for one month to three months or both. 19.2 If anyone sells or causes to be sold seeds in contravention of Sections 11A and 11B, they shall be liable to a fine of Amended by the Seed (Second Amendment) Act, 2079. fifty thousand to one hundred thousand rupees or imprisonment for one month to three months or both. 19.3 If anyone sells or causes to be sold seeds without disclosing the details pursuant to Section 13, they shall be liable to a fine of Amended by the Seed (Second Amendment) Act, 2079. ten thousand to fifty thousand rupees or imprisonment for one month to three months or both. 19.4 If anyone does any act in contravention of sub-section 16.3, they shall be liable to a fine of Amended by the Seed (Second Amendment) Act, 2079. twenty-five thousand rupees or imprisonment for one month to three months or both. 19.5 Except as provided in sub-sections 19.1, 19.2, 19.3 and 19.4, any person or institution doing or causing to be done any act contrary to this Act or the rules made under this Act shall be liable to a fine of Amended by the Seed (Second Amendment) Act, 2079. fifteen thousand to twenty-five thousand rupees or imprisonment for one month to two months or both. Added by the Seed (Second Amendment) Act, 2079.19.6 If anyone creates any obstruction or threatens the Seed Inspector or Seed Analyst during the implementation of this Act and the rules made under this Act, the Seed Inspector or Seed Analyst appointed pursuant to sub-section 16.1 of Section 16 or designated pursuant to sub-section 16.2 shall impose a fine of up to twenty-five thousand rupees for each instance. 20. Government to be Plaintiff: The Government of Nepal shall be the plaintiff in cases under this Act. 21. Investigation and Filing of Cases:

21.1 Investigation of offenses punishable under this Act shall be conducted by the Seed Inspector or Seed Analyst appointed pursuant to sub-section 16.1 of Section 16 or designated pursuant to sub-section 16.2, and after completion of such investigation, the case shall be filed before the adjudicating officer. 21.2 While investigating and filing a case pursuant to sub-section 21.1, the Seed Inspector may seek the opinion of the government attorney. Amended by the Seed (Second Amendment) Act, 2079. Upon seeking the opinion of the government attorney, the case shall be conducted in accordance with such opinion.
Seeds Act, 1988

21.2 While investigating and filing a case pursuant to sub-section 21.1, the Seed Inspector may seek the opinion of the government attorney. Amended by the Seed (Second Amendment) Act, 2079. Upon seeking the opinion of the government attorney, the case shall be conducted in accordance with such opinion. Added by the Seed (Second Amendment) Act, 2079.21A. Proceedings under Prevailing Law Not Barred: If an act punishable under this Act is also punishable under any other prevailing law, this Act shall not prevent proceedings under that other law. 22. Jurisdiction to Hear Cases:

22.1 The jurisdiction to hear cases under this Act shall vest in the prescribed officer. 22.2 While conducting proceedings and making decisions on cases pursuant to sub-section 22.1, the prescribed officer shall adopt the procedure under the Special Court Act, 2059. Added by the Seed (Second Amendment) Act, 2079.22.3 A party dissatisfied with the decision of the officer hearing the case pursuant to sub-section 22.1 may appeal to the concerned District Court within thirty-five days from the date of the decision. 23. Protection of Acts Done in Good Faith: Amended by the Seed (Second Amendment) Act, 2079.A Seed Inspector or Seed Analyst or any employee authorized to work under this Act shall not be personally liable for any act done in good faith in the course of performing their duties under this Act. Provided that, if any act is done with the intention of causing unnecessary suffering, harassment or trouble to anyone, the concerned person shall be liable for it. 24. Power to Make Rules: The Government of Nepal may make necessary rules for implementing the objectives of this Act.
Exports and Imports (Control) Act, 1957

EXPORT IMPORT (CONTROL) ACT, 2013

Date of Royal Seal
2013.10.12

Date of Publication in Nepal Gazette
2013.10.22

Amending Acts

1. Some Nepal Laws (Amendment and Re-enactment) Act, 2020 2020.11.16
2. Export Import (Control) (First Amendment) Act, 2029 2029.6.15
3. Export Import (Control) (Second Amendment) Act, 2046 2046.6.11
4. Act Amending Some Nepal Acts Relating to Export Import and Intellectual Property, 2063 2063.8.8
5. Act to Strengthen the Republic and Amend Some Nepal Laws, 2066 2066.10.7
6. Act Amending Some Acts Relating to Prevention of Money Laundering and Promotion of Business Environment, 2080 2080.12.30

Act Number 16 of the year 2013



An Act Made for the Prohibition or Control of Export Import

Whereas it is considered necessary to maintain peace and order by regulating the power to prohibit or control export import, this Act is hereby made and promulgated by His Majesty the King [Shree 5 Maharajadhiraja] on the advice of the Council of Ministers. 1. Short Title: This Act may be called the "Export Import (Control) Act, 2013". 2. Definitions: Unless the subject or context otherwise requires, in this Act,-

(a) "Export" means the act of exporting goods outside the Kingdom of Nepal.
(b) "Import" means the act of importing goods within the Kingdom of Nepal.
(c) "Notification" means an order published in the Nepal Gazette.
(d) "Published" means published in the Nepal Gazette. Amended by the Act Amending Some Nepal Acts Relating to Export Import and Intellectual Property, 2063.3.
Exports and Imports (Control) Act, 1957

Amended by the Act Amending Some Nepal Acts Relating to Export Import and Intellectual Property, 2063.3. Power of the Government of Nepal to Prohibit or Control Export Import: (1) If it appears necessary to prohibit or control the export or import of any article for achieving the following objectives, the Government of Nepal may, by notification, prohibit the export or import of such article, with or without conditions or a specified period, or impose a total or quantitative restriction:-

(a) To protect national security interests,
(b) To maintain public order, decency, or morality,
(c) To regulate trade in gold, silver, or other similar metals or precious stones,
(d) To protect against activities adverse to the health of human, animal, bird, or plant life,
(e) To make appropriate arrangements regarding the import of goods produced by the labor of prisoners or convicts,
(f) To protect national heritage of artistic, historical, or archaeological importance,
(g) To make appropriate arrangements for the conservation of exhaustible natural resources (including restrictions on domestic production or consumption),
(h) To ensure the availability of domestic raw materials needed for national processing industries that may have competitive capacity,
(i) To make appropriate arrangements for the procurement and distribution of goods in short supply at the local level,
(j) To eliminate or prevent a situation of serious decline in foreign exchange reserves, or to increase the very low foreign exchange reserves and protect the country's external financial position and balance of payments,
(k) To prevent a serious shortage of essential foodstuffs or other products of a similar nature,
(l) To establish standards for the classification, grading, or marketing of consumer goods in international trade,
(m) To avail of exemptions or concessions granted in foreign trade for least developed countries,
(n) To protect national industries producing goods of a similar nature from serious adverse effects that may be caused by unexpectedly large volumes of imported goods,
(o) To protect intellectual property such as patents, trademarks, copyrights, industrial designs, geographical indications, and protection of confidential information,
(p) To promote or protect new skill or technology-based industries that enhance the country's competitive capacity,
(q) To prohibit unhealthy or unauthorized trade activities or to control unfair competition,
(r) To implement the Charter of the United Nations and multilateral international conventions or bilateral agreements to which Nepal is a party, and to fulfill obligations arising therefrom.

(2) If it appears that it is no longer necessary to maintain a restriction imposed on the export or import of any article pursuant to subsection (1), the Government of Nepal may, by notification stating the basis and reason therefor, at any time adjust, alter, or remove such restriction.
Exports and Imports (Control) Act, 1957

Inserted by the Act Amending Some Acts Relating to Prevention of Money Laundering and Promotion of Business Environment, 2080.3A. Formation of Trade Facilitation and Transparency Unit: (1) For maintaining facilitation and transparency in international trade, there shall be a Trade Facilitation and Transparency Unit as follows:-

 S.No. Designation Description

 (a) Secretary of the Ministry of the Government of Nepal dealing with commerce matters Coordinator
 (b) Deputy Governor, Nepal Rastra Bank Member
 (c) Joint Secretary, Ministry of Finance Member
 (d) Joint Secretary, Ministry of Law, Justice and Parliamentary Affairs Member
 (e) Director General, Department of Customs Member
 (f) Director General, Inland Revenue Department Member
 (g) Director General, Department of Commerce, Supply and Consumer Protection Member-Secretary

(2) The functions, duties, and powers of the Trade Facilitation and Transparency Unit under subsection (1) shall be as follows:-

(a) To coordinate with interstate bodies established to maintain transparency in trade,
(b) To exchange information with bodies established in other countries to maintain trade regulation and transparency regarding the realistic valuation of prices, quantities, details, documents, or related matters concerning cross-border trade,
(c) To send communication to the concerned body or the concerned country for action if any irregularity is found during coordination under clause (a) and information exchange under clause (b),
(d) To recommend to the concerned body to formulate and implement necessary standards to maintain or cause to maintain transparency in cross-border trade,
(e) To obtain information, details, and documents related to cross-border trade from the concerned body,
(f) To monitor or cause to monitor trade-related activities through appropriate methods and software,
(g) To recommend to the concerned body to include necessary conditions in Exim Code or commercial documents of a similar nature,
(h) To perform other functions as prescribed in the rules relating to trade transparency.

(3) It shall be the duty of the concerned body or person to provide such documents and details if required by the Trade Facilitation and Transparency Unit in the course of performing its functions. 4.
Exports and Imports (Control) Act, 1957

4. Power of the Government of Nepal to Make Rules: (1) The Government of Nepal may make rules for carrying out the purposes of this Act.

(2) Without prejudice to the generality of the power conferred by subsection (1), the Government of Nepal may make rules in respect of the following matters:-

(a) Issuance of export import permits and the format of such permits,
(b) Applications and evidence to be submitted to obtain such permit,
(c) Permit fees,
(d) Designating officers authorized to grant permits,
(e) Determining persons eligible for permits and the quantity of permits,
(f) Granting concessions for export or import without a permit,
(g) Producing the permit when exporting or importing,
Inserted by the First Amendment.(h) Specifying the period of validity of a permit and extending the term of an expired permit,
Inserted by the First Amendment.(i) Circumstances in which a permit may be cancelled or suspended,
Inserted by the First Amendment.(j) Requiring the submission of prescribed statistics or details of goods exported or imported under the permit. Amended by the Second Amendment.5. Punishment: (1) If any person exports or imports any article which is controlled or prohibited under this Act or a notification issued under this Act, or exports or imports articles differing, without reasonable cause, from the articles, value, or quantity specified in a permit issued for export or import under the rules made under this Act, such exported or imported article shall be confiscated and such person shall be liable to a fine equal to the value of such article or imprisonment for up to one year or both.

(2) A person who abets an act punishable under subsection (1) shall be liable to half the punishment mentioned in that subsection.

(3) Except as provided in subsections (1) and (2), if any person knowingly submits false or forged evidence or details to obtain a permit, or makes unauthorized additions, deletions, or alterations to an issued permit, or obstructs the work or proceedings of the office issuing the permit, the officer authorized to issue the permit may impose a fine of up to two thousand rupees on such person.

(4) Except as provided in subsections (1), (2), and (3), any person doing any other act contrary to this Act or the rules made under this Act, the officer authorized to issue the permit may impose a fine of up to one thousand rupees on such person.

(5) The officer authorized to issue the permit may, for a period of one to three years, refuse to issue an export import permit to or cancel the permit of a person liable to punishment under this section. Amended by the Second Amendment.6.
Exports and Imports (Control) Act, 1957

Amended by the Second Amendment.6. Jurisdiction to Hear Cases and Appeal: The concerned Customs Officer shall have the authority to commence proceedings and adjudicate cases regarding offenses under subsections (1) and (2) of section 5, and any person dissatisfied with such officer's decision may appeal to the Revenue Tribunal within thirty-five days. Inserted by the First Amendment.6A. Reward to Informant: If any person gives information regarding the export or import of any article contrary to this Act or a notification issued under this Act, and upon proceedings it is proven that such act has been committed, an amount equal to Amended by the Second Amendment.thirty percent of the value of the concerned article shall be given as a reward to such informant. Provided that, if it is determined that the information was given falsely with the intention of causing harassment or settling scores, and not on reasonable grounds or basis for giving information leading to proceedings, the person giving such false information shall be liable to a fine of two hundred to five hundred rupees. 7. Saving: Any restriction imposed by the Government of Nepal on any article or articles prior to the commencement of this Act shall remain in force until notification of its removal or amendment. 8. Repeal: All Acts, laws, charters, and sanads inconsistent with this Act and the rules made under this Act are hereby repealed or deemed amended to conform with this Act, to the extent of such inconsistency. Note:-

(1) Section 5 of the Act Amending Some Nepal Acts Relating to Export Import and Intellectual Property, 2063 reads as follows:-

5. Effect upon lapse of the Ordinance Amending Some Nepal Acts Relating to Export Import and Intellectual Property, 2062: After the lapse of the Ordinance Amending Some Nepal Acts Relating to Export Import and Intellectual Property, 2062, unless a contrary intention appears, such lapse shall not-

(a) revive anything not in force or existing at the time the Ordinance lapsed,
(b) affect anything done or any right accrued or any obligation incurred under the Ordinance,
(c) affect any right, privilege, obligation, or liability acquired, accrued, or incurred under the Ordinance,
(d) affect any penalty, forfeiture, or punishment incurred under the Ordinance,
(e) affect any investigation, legal proceeding, or remedy in respect of any such right, privilege, obligation, liability, penalty, forfeiture, or punishment; and any such legal proceeding or remedy may be instituted, continued, or enforced as if the Ordinance had not lapsed.

(2) Section 5 of the Export Import (Control) (Second Amendment) Act, 2046 reads as follows:-

"5.
Insurance Act, 2022

Insurance Act, 2079

Certification Date
2079.06.23

Amending Act

1. Some Nepal Acts Amendment Act, 2082 2082.04.14

Act Number 27 of the Year 2079

An Act Made to Amend and Consolidate Laws Relating to Insurance

Preamble: Whereas, it is expedient to make the insurance system and insurance business systematic, regulated, competitive and reliable and develop the same, to provide quality and reliable insurance services to the general public through healthy competition in insurance business, and to amend and consolidate the prevailing laws relating to insurance and make them up-to-date for effective regulation of insurance business and protection of the rights and interests of the insured;

Now, therefore, the Federal Parliament has enacted this Act. Chapter-1

Preliminary

1. Short Title, Extent and Commencement: (1) This Act shall be called the "Insurance Act, 2079".

(2) This Act shall extend throughout the State of Nepal and also apply to any branch office established by an insurer anywhere outside Nepal.

(3) This Act shall commence on the thirty-first day from the date of its certification. 2. Definitions: Unless the subject or context otherwise requires, in this Act,-

(a) "Chairperson" means the Chairperson of the Board of Directors pursuant to Section 6.

(b) "Other insurance service provider" means a person or entity other than an insurer or insurance intermediary licensed by the Authority to perform insurance-related work.

(c) "Founding shareholder" means a person, company or entity holding one percent or more of the paid-up capital of an insurer, and the term also includes a single family if members of such single family individually hold one percent or more of the shares.

(d) "License" means a license granted to carry out insurance business in accordance with this Act, and the term also includes a license granted to an insurance intermediary and other insurance service provider to perform work as prescribed.

(e) "Single family" means the spouse, son, daughter-in-law, daughter, adopted son, adopted daughter, father, mother, stepmother of the concerned person and other persons who are dependent on or provide support to such person.

(f) "Chief Executive" means the chief executive officer appointed pursuant to Section 57, having administrative, managerial or busin
Insurance Act, 2022

ess operational responsibility of an insurer.

(g) "Net worth" means the amount remaining after deducting all liabilities other than paid-up capital, reserves, funds or accumulated profits of any nomenclature belonging to shareholders, or any goodwill of the insurer, and any accumulated losses, from the total existing assets of the insurer.

(h) "Life insurance" means a contract made by an insurer with the insured whereby, upon payment of a specific sum in lump sum or installments based on the age of a person regarding the life of such person, such person or a person authorized by such person, or in the event of such person's death, a person authorized by such person or a person named by such person or such person's heir, shall receive a specific sum as mentioned in the policy.

(i) "Third party facilitator" means a licensed insurance intermediary acting as a medium for conducting insurance between the insurer and the insured.

(j) "Prescribed" or "as prescribed" means prescribed or as prescribed under this Act or the rules or regulations made under this Act.

(k) "Close relative" means a single family or relatives such as mother-in-law, father-in-law, elder brother, younger brothe r, elder sister, younger sister, brother's wife, daughter-in-law, wife's brother, wife's sister, brother-in-law (sister's husband), uncle (paternal), aunt (paternal), uncle (maternal), aunt (maternal), grandson, granddaughter, granddaughter-in-law, nephew (sister's son), niece (sister's daughter), aunt (paternal), uncle (paternal aunt's husband), nephew (brother's son), niece (brother's daughter), brother's wife's brother, brother's wife's sister, as well as the husband, wife, son, daughter-in-law or daughter and son-in-law of such relatives.

(l) "Non-life insurance" means insurance other than life insurance and reinsurance, and the term also includes a contract made by an insurer with the insured to provide a specific sum of money as compensation or damages in consideration of accepting risk as mentioned in the policy by collecting premium in respect of the risk of any property or liability.

(m) "Reinsurance" means a contract made by an insurer with a reinsurer or another insurer whereby such reinsurer or other insurer bears the risk of a portion exceeding the risk that the first insurer retains.

(n) "Proposed insurance company" means a public limited company proposed to be est
Insurance Act, 2022

ablished in accordance with prevailing law for the purpose of carrying out insurance business.

(o) "Authority" means the Nepal Insurance Authority pursuant to Section 3.

(p) "Insurer" means an insurance company or reinsurance company licensed to carry out insurance business in accordance with this Act.

(q) "Insurance agent" means a licensed insurance intermediary person or entity, other than an employee of an insurer, who works on a commission basis on behalf of an insurer.

(r) "Insurance contract" means a written agreement made between an insurer and the insured, upon payment of a specific insurance premium, on the condition of bearing risk according to the agreement.

(s) "Insurance broker" means a licensed insurance intermediary person or entity working as an insurance broker in relation to insurance business.

(t) "Insurance pool" means a collective insurance fund established by insurers to collectively bear risk, pool premiums, make reinsurance arrangements and arrange claim payments concerning a particular type of insurance or risk.

(u) "Insurance intermediary" means an insurance agent, insurance surveyor, insurance broker, third party facilitator or other insurance inte rmediary as prescribed, licensed by the Authority.

(v) "Insurance business" means life insurance business, non-life insurance business or reinsurance business.

(w) "Actuary" means a person who has obtained the title of actuary from a recognized institution for the valuation of an insurer's assets and liabilities.

(x) "Insurance policy" means the instrument of insurance issued by an insurer to the insured upon accepting any risk.

(y) "Insurance surveyor" means a licensed insurance intermediary person or entity that assesses damaged property and liabilities.

(z) "Premium" means the amount received by an insurer from the insured in lump sum or installments as consideration for insurance.

(aa) "Insured" means a person taking insurance, and the term also includes a person entitled to benefit from the insurance policy.

(bb) "Bonus" means the share of profit or amount provided to the insured under participating life insurance based on the sum insured.

(cc) "Ministry" means the Ministry of Finance of the Government of Nepal.

(dd) "Micro insurance" means micro insurance conducted pursuant to Chapter-8 targeting low-income, economically, socially and geographically backward classes.
Insurance Act, 2022

(ee) "Auditor" means an auditor licensed in accordance with prevailing law to conduct audits.

(ff) "Financial interest" means the situation of involvement in an insurer of the following persons, entities, firms, companies or organizations:-

(1) Director or founding shareholder or chief executive or member of his/her single family,

(2) A sole or partnership firm, company or organization authorized to nominate a director,

(3) Director, chief executive or member of the single family of a firm, company or organization pursuant to sub-clause (2), or

(4) If a person, firm, company or organization pursuant to sub-clause (1) or (2) has taken ten percent or more of the paid-up capital shares in another sole or partnership firm, company or organization, such firm, company or organization in which such shares have been taken.

(gg) "Foreign insurance company" means an insurance company licensed under this Act to carry out insurance business within Nepal having obtained a license to carry out insurance business in a foreign country.

(hh) "Managerial level" means a manager involved in the decision-making process concerning the operation and management of any organized entity, and the te rm also includes a manager or a person holding the designation of manager or officer of the second class or above employed in the position of head of any organized entity or any branch or unit thereof with the authority to exercise ultimate responsibility or authority.

(ii) "Board of Directors" means the Board of Directors of an insurer formed pursuant to Section 47.

(jj) "Member" means a member of the Board of Directors of the Authority, and the term also includes the Chairperson.

(kk) "Board" means the Board of Directors of the Authority formed pursuant to Section 6.

(ll) "Collective insurance fund" means a collective insurance fund (insurance pool) established by insurers to collectively bear risk, pool premiums, make reinsurance arrangements and arrange claim payments concerning a particular type of insurance or risk.

(mm) "Permanent residence permit" means a Diversity Immigrant Visa (D.V.), Permanent Resident Visa (P.R.) or Green Card provided to a Nepali citizen to reside permanently in a foreign country with or without any condition, and the term also includes a permanent residence permit of any nomenclature given to a Nepali citizen for permanent residence abroad. Chapter-2
Establishment and Functions, Duties and Powers of the Authority

3. Establishment of Authority: (1) The Nepal Insurance Authority is established as the regulatory body for insurance business.

(2) The central office of the Authority shall be located in Kathmandu Valley, and the Authority may open its offices anywhere within or outside Nepal as required. 4.
Insurance Act, 2022

Establishment of Authority: (1) The Nepal Insurance Authority is established as the regulatory body for insurance business.

(2) The central office of the Authority shall be located in Kathmandu Valley, and the Authority may open its offices anywhere within or outside Nepal as required. 4. Authority to be an Autonomous and Organized Body: (1) The Authority shall be an autonomous organized body with perpetual succession and shall have a legal personality.

(2) The Authority shall, in the capacity of a legal person, exercise rights, perform duties and discharge liabilities in accordance with prevailing law. 5. Functions, Duties and Powers of the Authority: In addition to the functions, duties and powers mentioned elsewhere in this Act, the functions, duties and powers of the Authority shall be as follows:-

(a) To act as an advisor to the Government of Nepal on insurance matters,

(b) To formulate national insurance policy and recommend it to the Government of Nepal,

(c) To grant prior approval for establishment of an insurance company, grant licenses and revoke them,

(d) To issue regulations, directives, guidelines and orders necessary for insurance business,

(e) To grant, renew and revoke licenses to insurance intermediaries,

(f) To determine capital and capital fund related to insurance business,

(g) To prepare and implement necessary programs to make insurance business systematic, regulated, competitive and reliable,

(h) To conduct or cause to conduct studies, research, training, orientation and awareness-related activities for the development and expansion of insurance business,

(i) To make decisions on complaints filed by the insured against the insurer regarding insurance liability determination,

(j) To resolve disputes between various parties of insurance,

(k) To perform necessary work relating to risk mitigation in insurance business,

(l) To produce skilled human resources for the development of insurance business and formulate and implement programs relating to the promotion of insurance education,

(m) To formulate and implement insurance business promotion programs to extend insurance access to all people,

(n) To promote micro insurance business to extend insurance access to low-income classes,

(o) To coordinate, cooperate and exchange information with other governmental and non-governmental bodies for regulation, inspection, supervision and development of insurance business,

(p) To cooperate with insurance regulatory bodies of foreign countries as well as international organizations, other organizations conducting or causing to conduct insurance-related study, research and training programs,

(q) To represent the Government of Nepal or the Authority in international organizations related to insurance regulation and obtain membership of such organizations,

(r) To operate and cause to operate the Insured Interest Protection Fund and other necessary work,

(s) To coordinate with provinces regarding insurance,

(t) To perform necessary work to be done in the capacity of insurance regulatory body. 6.
Insurance Act, 2022

6. Formation of Board: (1) The Authority shall have a Board of Directors as follows:-

(a) Person appointed by the Government of Nepal - Chairperson

(b) Joint Secretary, Ministry of Finance - Member

(c) Joint Secretary, Ministry of Law, Justice and Parliamentary Affairs - Member

(d) One person from among persons having special knowledge of life insurance business - Member

(e) One person from among persons having special knowledge of non-life insurance business - Member

(2) While appointing members pursuant to clause (d) and (e) of sub-section (1), at least one woman shall be included.

(3) An officer-level employee designated by the Authority shall act as the Secretary of the Board. 7. Appointment of Chairperson or Member: (1) There shall be a committee chaired by the member of the National Planning Commission looking after the relevant sector, with the Secretary of the Ministry and an expert member related to the insurance sector, for recommending names to the Government of Nepal for the appointment of the Chairperson of the Board, and the Chairperson shall be appointed on the recommendation of such committee in accordance with this Section.

(2) While recommending for the appointment of the Chairperson, the committee pursuant to sub-section (1) shall recommend the names of three persons from among persons fulfilling the qualifications under Section 8 to the Government of Nepal.

(3) The Government of Nepal shall appoint one person from among the persons recommended pursuant to sub-section (2) to the post of Chairperson.

(4) The appointment of the Chairperson pursuant to sub-section (3) shall be made at least one month before such post falls vacant.

(5) The Government of Nepal shall appoint the members pursuant to clause (d) and (e) of sub-section (1) of Section 6 from among persons having the qualifications under sub-section (1) of Section 8. While making such appointment, at least one woman shall be represented. 8.
Insurance Act, 2022

While making such appointment, at least one woman shall be represented. 8. Qualification and Disqualification of Chairperson or Member: (1) For the Chairperson or Member of the Board, the following qualifications must be fulfilled:-

(a) Having obtained at least a post-graduate degree or equivalent in insurance, monetary, banking, financial, commerce, management, public administration, statistics, mathematics, economics or law and having obtained at least five years of high-level managerial work experience in the related field,

(b) Having high moral character,

(c) Not being disqualified under sub-section (3).

(2) Notwithstanding anything contained in sub-section (1), such qualification shall not be required for the member pursuant to clause (b) and (c) of sub-section (1) of Section 6.

(3) The following persons shall be disqualified from being appointed to or holding the post of Chairperson or Member:-

(a) Non-Nepali citizen,

(b) Employee, director, consultant or serving employee of an insurer,

(c) Having himself/herself or any member of his/her single family as a founding shareholder or having financial interest in any insurer, or being a founding shareholder of an organized entity having financial interest in any insurer,

(d) Having been adjudged insolvent in accordance with prevailing law,

(e) Being unable to serve on the Board due to physical or mental illness,

(f) Having been convicted by a court of an offense relating to corruption, banking or insurance, fraud, human trafficking, money laundering, organized crime or any other criminal offense involving moral turpitude,

(g) Having been blacklisted in accordance with prevailing law and not having completed three years since being released,

(h) Having been punished by a court or a regulatory body established under prevailing law,

(i) Having taken a permanent residence permit of a foreign country,

(j) Not having completed two years since leaving the post of Chairperson, Member, Chief Executive or high-level managerial officer of the Board of Directors of an insurer. 9. Term of Office of Chairperson and Member: (1) The term of office of the Chairperson and the members appointed pursuant to clause (d) and (e) of sub-section (1) of Section 6 shall be four years from the date of appointment.

(2) The Government of Nepal may, if it deems appropriate, reappoint the Chairperson or Member for one additional term. 10. Service Conditions of Chairperson and Member: (1) The Chairperson shall be a full-time officer of the Authority.

(2) The remuneration, facilities and other service conditions of the Chairperson or Member shall be as prescribed. 11.
Insurance Act, 2022

10. Service Conditions of Chairperson and Member: (1) The Chairperson shall be a full-time officer of the Authority.

(2) The remuneration, facilities and other service conditions of the Chairperson or Member shall be as prescribed. 11. Oath to be Taken: Before commencing the work of their office, the Chairperson and the members appointed pursuant to clause (d) and (e) of sub-section (1) of Section 6 shall take an oath of office and secrecy in the format as per the Schedule before the Finance Minister of the Government of Nepal. 12. Circumstances for Vacancy of Chairperson or Member: (1) The Chairperson or Member shall not hold office in any of the following circumstances:-

(a) If he/she submits a written resignation to the Government of Nepal,

(b) If he/she becomes disqualified to hold office under sub-section (3) of Section 8,

(c) If he/she is removed from office by the Government of Nepal under sub-section (2) on the grounds of bad conduct, lack of work capability or failure to discharge official responsibilities.

(2) If the Chairperson or Member is required to be removed from office on the grounds mentioned in clause (c) of sub-section (1), he/she may be removed on the recommendation of the following investigation committee:-

(a) One person appointed by the Government of Nepal from among retired judges of the High Court - Chairperson

(b) Two persons from different fields appointed by the Government of Nepal from among persons having obtained a post-graduate degree and having at least ten years of experience in the insurance or financial sector - Member

(3) After an investigation committee is formed under sub-section (2) in respect of the Chairperson or any Member, such person shall be automatically suspended until the completion of the investigation period.

(4) The term of the committee formed under sub-section (2) shall be a maximum of three months from the date of formation.

(5) If for any reason the post of Chairperson or Member of the investigation committee formed under sub-section (2) falls vacant, such vacancy shall be filled for the remaining term by the same process by which such member was appointed. 13.
Insurance Act, 2022

13. Functions, Duties and Powers of Chairperson: In addition to those mentioned elsewhere in this Act, the functions, duties and powers of the Chairperson shall be as follows:-

(a) To act as the chief administrative and chief executive officer of the Authority,

(b) To formulate insurance policy and other policies, rules, regulations, directives, procedures, periodic plans and annual programs of the Authority and submit them to the Board for approval,

(c) To implement or cause to implement the insurance policy and other policies, regulations, directives, procedures, periodic plans and annual programs of the Authority,

(d) To operate and manage the Authority,

(e) To systematize and regulate the functions to be performed by the Authority,

(f) To mediate disputes between the insurer and the insured, Amended by the Some Nepal Acts Amendment Act, 2062.

(g) To perform or cause to perform functions relating to regulation, inspection or monitoring of insurance business,

(h) To grant approval to open branches, sub-branches and other offices of an insurer or order to close them,

(i) To take regulatory action by exercising powers under clauses (a), (b), (c), (d) and (e) of sub-section (1) and clauses (b) and (c) of sub-section (2) of Section 134,

(j) To delegate powers vested in him/her to subordinate employees and perform or cause to perform necessary work,

(k) To represent or cause to represent the Authority in international organizations. 14. Information to be Furnished to the Authority: The Chairperson and Member shall, within thirty days of being appointed, furnish the following information to the Authority:-

(a) Details of profession, employment or business and office in which he/she is involved,

(b) Whether he/she or any member of his/her single family is a shareholder of any insurer, and if so, the number of shares taken,

(c) Whether he/she or any member of his/her single family has been a director, officer, auditor or consultant of any insurer within the last three years,

(d) Whether he/she or any member of his/her single family has worked as an insurance intermediary within the last three years,

(e) Details of movable and immovable property in his/her name or in the name of his/her single family. 15.
Insurance Act, 2022

15. Not to Abuse Regulatory Opportunity: (1) The Chairperson, Member, employee of the Authority or auditor shall not, while performing functions in their official capacity, provide any information that has come to their knowledge and is required to be kept confidential by law, whether made public or not, to any person other than the concerned person, nor disclose the source thereof.

(2) The officers pursuant to sub-section (1) shall not, while performing functions in their official capacity, use or cause to use any confidential information that has come to their knowledge for the benefit, interest or advantage of themselves or any member of their single family.

(3) The Chairperson, Member, employee of the Authority, auditor, representative or any person of a firm or company contracting with the Authority shall not, while performing any work on behalf of the Authority, take or give any kind of benefit, facility, concession or advantage to themselves, their single family or anyone else by exercising the regulatory power of the Authority.

(4) If any act is done contrary to this Section, the concerned officer shall be deemed to have abused authority in accordance with prevailing law, and information thereof shall be sent in writing to the concerned body. 16. Meeting of the Board: (1) The meeting of the Board shall be held as required, not less than once a month.

(2) The meeting of the Board shall be held on the date, place and time fixed by the Chairperson.
Insurance Act, 2022

16. Meeting of the Board: (1) The meeting of the Board shall be held as required, not less than once a month.

(2) The meeting of the Board shall be held on the date, place and time fixed by the Chairperson. Provided that if at least three members of the Board make a written request to call a meeting of the Board, the Chairperson, and in his/her absence the senior member, shall call a meeting of the Board within seven days.

(3) The Secretary of the Board shall make available to the members the subjects to be discussed in the meeting at least twenty-four hours before the meeting is held.

(4) If more than fifty percent of the total number of members of the Board are present, the quorum for the meeting of the Board shall be deemed to have been constituted.

(5) The meeting of the Board shall be chaired by the Chairperson, and in his/her absence, by the senior member.

(6) The decision of the majority in the Board shall be valid, and in case of a tie, the person chairing the meeting shall give the casting vote.

(7) If the Board deems necessary, it may invite any other expert or officer related to insurance or the concerned subject to the meeting of the Board.

(8) The decision of the Board shall be recorded in a separate book, and the person chairing the meeting and all members present shall sign such book.

(9) The decision of the Board shall be certified and kept by the Secretary of the Board.

(10) Other procedures relating to meetings of the Board shall be as determined by the Board itself. 17. Restriction on Decision-making in case of Conflict of Interest: (1) If any proposal in which the Chairperson, Member or any member of his/her single family has a financial interest, personal interest or business interest is to be discussed in a meeting of the Board, such member shall inform the Board of that fact before the commencement of the meeting.

(2) When a proposal in which any Member or any member of his/her single family has an interest is discussed in a meeting of the Board pursuant to sub-section (1), such member shall not participate in such meeting.

(3) Any decision made contrary to sub-section (1) or (2) shall not be applicable in respect of such member. 18.
Insurance Act, 2022

18. May Form Committee and Sub-committee: (1) The Board may, as required, form other committees or sub-committees to assist in performing any work or action to be performed by it under this Act or the rules made under this Act.

(2) The functions, duties, powers, procedures and facilities to be received by members of a committee or sub-committee formed under sub-section (1) shall be as specified by the Board. 19. Arrangement Regarding Employees: (1) The Authority shall appoint the necessary number of employees to smoothly carry out the work of the Authority.

(2) The appointment, remuneration, service conditions, facilities and other arrangements of the employees of the Authority shall be as prescribed.

(3) While adding employee positions and remuneration and facilities of the Authority under this Section, approval of the Ministry shall be obtained. Chapter-3
Fund, Accounts and Audit of the Authority

20. Fund of the Authority: (1) There shall be a separate Fund of the Authority.

(2) The Fund under sub-section (1) shall consist of the following amounts:-

(a) Amount received from the Government of Nepal,

(b) Amount received for establishment, prior approval and grant of license of an insurance company,

(c) Amount received for grant or renewal of license of an insurance intermediary,

(d) Amount received as regulatory fee for insurance business,

(e) Amount received from foreign governments, international organizations and institutions,

(f) Amount received from other sources.

(3) Prior approval of the Ministry shall be obtained before receiving the amount under clause (e) of sub-section (2).

(4) All amounts received under sub-section (2) shall be deposited by opening an account in a bank or financial institution licensed under prevailing law.

(5) All expenses made on behalf of the Authority shall be borne from the amount deposited in the Fund under sub-section (1).

(6) Out of the amount deposited in the Fund under this Section, except for the amount set aside annually for the operation, management and insurance development of the Authority and the amount representing fifty percent thereof, the remaining amount shall be deposited annually in the Federal Consolidated Fund.

(7) Other arrangements relating to the operation of the Fund under sub-section (1) shall be as prescribed. 21. Accounts of Income and Expenditure: (1) The Authority shall keep its accounts, books and financial statements properly in accordance with prevailing Nepal Accounting Standards so as to clearly show its financial position.

(2) The Authority shall maintain an internal control system as prescribed in its work and operations. 22. Audit: (1) The audit of the Authority shall be conducted by the Auditor General.

(2) The Authority shall have its internal audit conducted regularly. 23.