ADBL’s Movable Immovable Property Auction Notice in Nepal

10th February 2026, Kathmandu

Agricultural Development Bank Limited (ADBL), a state-owned commercial bank, has issued a movable immovable property auction notice for the second time, targeting several high-value assets pledged as collateral by loan defaulters. The notice, published in mid-February 2026, serves as a final legal warning before the bank initiates the public liquidation of properties to recover outstanding debts.

ADBL’s Movable Immovable Property

The primary defaulter identified in this cycle is Mata Barahi Engineering and Construction Pvt. Ltd., along with its associated guarantors. Despite multiple prior warnings, including a 35-day public notice issued in mid-2025 (Jestha 2082), the borrower has failed to settle the principal, interest, and penalties owed to the institution.

Detailed Auction Schedule and Location

The auction is set to take place in the Gandaki Province, specifically under the jurisdiction of the Damouli branch.

• Auction Date: Falgun 13, 2082 (Wednesday, February 25, 2026)
• Time: 11:00 AM to 3:00 PM
• Location: Agricultural Development Bank Ltd., Damouli Branch, Tanahun.
• Property Type: Movable and immovable assets (Land and physical structures).

Assets and Defaulter Profile

The assets being liquidated are prime land parcels located within the expanding administrative wards of Tanahun.

Defaulter Information

• Entity: Mata Barahi Engineering and Construction Pvt. Ltd.
• Registration: 183562/074/075 (Registered in 2074 BS).
• Property Owners/Guarantors: Krishna Bahadur Mal and Samjhana Rajbhandari Mal, residents of Shuklagandaki-8, Tanahun.

Property Particulars

The auction involves multiple plots registered in Wards 3 and 5 of the local municipality. The land area for these plots varies significantly:

Smallest Plot: 0-4-0-2 (Approximately 4 Aana).

Largest Plot: 6-0-0-0 (Approximately 6 Ropani).

These plots represent a mix of residential and potentially commercial land value, making them high-interest targets for local developers.

Terms and Conditions for Bidders

The ADBL auction is governed by the Bank and Financial Institution Act (BAFIA), 2073. To ensure a transparent “Daka Badabad” (competitive bidding) process, the following rules apply:

Mandatory Deposit: The highest bidder must provide a security deposit of 10% of the total bid amount on the day of the auction. This must be a “Good for Payment” check or cash deposit in the bank.

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Payment Timeline: The remaining 90% must be paid within 7 days of the bid’s official approval by the bank’s central committee.

Default Consequence: If the winning bidder fails to pay the balance within 7 days, the 10% deposit will be forfeited to the bank.

Transfer Costs: The purchaser is responsible for all government taxes, including the Registration Fee at the Malpot Office and any outstanding local land taxes.

Bank’s Rights: ADBL reserves the right to cancel the auction or reject any bid without providing a reason, even if the bidder is the sole participant.

Why Banks Issue “Second Notices”

Under Nepal’s banking regulations, a second notice is issued to ensure maximum transparency and to avoid legal disputes regarding the “right to be heard.”

Final Grace Period: This notice provides the borrower with a final 15-day window to pay the entire debt and stop the auction.

Legal Shield: By following the two-notice system, the bank protects itself from future lawsuits claiming that the auction was conducted in haste or without proper communication.

Market Awareness: The second notice typically draws more serious investors compared to the first, as it signals that the bank is now committed to immediate liquidation.

Conclusion

The ADBL movable immovable property auction notice reflects the bank’s intensified efforts to reduce its Non-Performing Loan (NPL) ratio in the 2082/83 fiscal year. For investors, the Falgun 13 auction in Damouli presents a rare opportunity to acquire land in a developing district under clear legal terms. For the borrowers, the countdown has officially begun, with only 15 days remaining to save their assets from public sale.

For More: ADBL’s Movable Immovable Property