KATHMANDU: Nepal Chamber of Commerce (NCC) has expressed its concern over the provision that does not allow a director of an organisation to sell the shares of the organisation he owns for one year even after leaving the position.
Mentioning that Sub-section 6 of Section 14 of the Directives on Good Corporate Governance of a Body Corporate issued by the Securities Board of Nepal (SEBON), 2075 does not allow a director of an organisation to purchase or sell the owned shares for up to one year after leaving that position, NCC has drawn the attention of the government to amend this arrangement.
NCC officials including President Rajendra Malla met with Finance Secretary Krishna Hari Pushkar at the Ministry of Finance on Tuesday and said that the directive issued by SEBON is impractical.
NCC President Malla opined that when a businessperson cannot sell his movable property, such a situation creates an obstacle in the business, diversification of business and also essential household work.
The statement issued by NCC read, 'We request to amend the provision of not allowing to buy and sell any type of share of the same organisation until a person holds the position of director and for one year after leaving that position, and suggest to make arrangements to allow a sale of shares up to 50% of the share ownership while holding the position of director'.
