Laxmi Sunrise Bank Limited Announces 7 Day Public Auction Notice For Mortgaged Assets

20th July 2026, Kathmandu

Laxmi Sunrise Bank Limited has officially published a 7 day public notice announcing the upcoming auction sale of mortgaged assets belonging to several defaulting borrowers.

Laxmi Sunrise 7-Day Public Auction

The commercial bank decided to move forward with the public liquidation process after the specified individuals and entities failed to settle their outstanding liabilities. This final action follows multiple past warnings and the formal expiration of a previously issued 35 day auction notice timeline.

The decision to initiate a rapid public sale reflects the strict credit monitoring policies of Laxmi Sunrise Bank Limited. By converting non performing collateral assets into liquid funds, the financial institution aims to recover its stuck capital, reduce its non performing loan metrics, and protect stakeholder interest. This public notification serves as the absolute final legal framework available to borrowers before ownership transfer occurs.

Background on Overdue Liabilities and Regulatory Compliance Framework

Before taking the final step to auction private properties, Laxmi Sunrise Bank Limited followed all statutory steps required under national financial laws. The bank maintained documented communication lines with the defaulting clients to provide adequate repayment opportunities.

The core reasons behind the issuance of the 7 day public auction notice include the following factors.

• The listed borrowers failed to settle their long overdue financial obligations within the previously granted timelines.
• The outstanding liabilities include unpaid core principal amounts, accumulated regular interest, penal interest, and extra administrative charges.
• Amicable settlement windows closed completely upon the expiration of the prior 35 day formal auction warning period.
• The bank is legally executing the sale in strict accordance with the provisions outlined in the Bank and Financial Institutions Act 2073.

The entire liquidation procedure complies fully with the running unified directives of Nepal Rastra Bank and other prevailing corporate laws.

Adhering to these national legislative frameworks ensures that the auction process remains transparent, legally binding, and fully protected against potential future litigation by the defaulting parties.

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Geographical Scope and Types of Collateral Assets Under Auction

The upcoming asset liquidation spans across major commercial hubs outside the capital valley, involving various types of real estate and moveable property. The diverse nature of the collateral shows that the defaults affect multiple lending segments.

The operational details regarding the location and types of properties up for bid include the following descriptions.

• The public notice specifically covers defaulting borrowers tied to the Hetauda branch office network.
• The recovery action simultaneously targets unpaid loan accounts registered at the Birgunj branch office.
• The real estate collateral features residential houses and associated land packages located in urban and semi urban zones.
• The commercial assets include business buildings, developed plots, and active trade properties offered as primary security.
• The agricultural sector listings contain farming plots and rural land blocks attached to agricultural credit accounts.
• The industrial portfolio includes factory installations, manufacturing setups, and related production assets.
• The moveable property category includes commercial and private motor vehicles pledged as secondary or standalone loan security.

The inclusion of such a wide variety of assets highlights the extensive legal right of the bank to seize any form of collateral to safeguard its depositors from financial defaults.

Guidelines for Interested Bidders and Final Repayment Window for Borrowers

Laxmi Sunrise Bank Limited has established dedicated channels to manage the collection of public bids and provide detailed property profiles. At the same time, it maintains a small window of opportunity for the original owners to save their properties.

Information for prospective asset buyers and urgent directives for listed borrowers include the following guidelines.

• Interested public buyers can obtain comprehensive details regarding the auction rules by contacting the corporate Head Office.
• The specialized Loan Recovery Department handling the transaction is situated at Hattisar, Kathmandu.
• Bidders can also visit the specific branch office in Hetauda or Birgunj to inspect the physical condition of the assets.
• The bank provides clear documentation on property inspection rules, bidding forms, and the legal terms and conditions of purchase.
• Borrowers are strongly urged to clear the entire outstanding balance including penal interest before the auction date arrives.

If the complete dues are paid before the bidding starts, the bank will immediately halt the sale and release the mortgaged properties.

However, if the liabilities remain unpaid at the end of the 7 day timeline, the bank will finalize the auction process. The proceeds will be directly applied to cover the loan balance, and any remaining legal deficit will be pursued through standard judicial methods.

For More: Laxmi Sunrise 7-Day Public Auction