Kumari Bank Re Auctions Mortgaged Properties to Recover Outstanding Loans

1st October 2026, Kathmandu

Kumari Bank Limited has issued a seven day public notice announcing the re auction of mortgaged properties pledged as collateral against defaulted loans.

KBL Re-Auctions Mortgaged Properties

The official notice was published in the Arthik Abhiyan daily newspaper on Ashoj 15, 2083 BS following the failure of the concerned borrowers to settle their outstanding financial obligations.

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Background and Loan Recovery Measures

The bank initiated the re auction process after initial recovery efforts and legal notices failed to produce loan clearance.

• Default Details: The borrowers failed to clear the accrued principal, interest, penal interest, and associated service charges despite multiple written and verbal reminders issued by the bank.
• Prior Regulatory Compliance: The bank previously issued a mandatory 35 day public notice instructing the defaulting borrowers to settle their total loan balances. Unpaid dues following the notice period prompted this secondary auction process.
• Previous Auction Outcome: Earlier public auction attempts failed to attract successful sales or transfers, necessitating the issuance of this formal re auction call.

Bidding Terms, Location, and Schedule

The sale will be conducted under standard recovery auction protocols for eligible individual and corporate entities.

• Sale Basis: The properties, including all associated land rights, structures, and appurtenances, will be sold strictly on an “as is, where is” basis.
• Target Participants: Eligible individuals, firms, companies, and institutions are invited to submit confidential sealed price bids in line with the bank’s operational criteria.
• Bidding Date: The sealed-bid auction event will take place on Ashoj 22, 2083 BS (Thursday).
• Venue and Office: Bids will be opened and processed at the designated local branch offices or directly at the Credit Recovery Department located in Bagbazar, Kathmandu.
• Application of Funds: All financial proceeds realized from the property re auction will be applied directly toward liquidating the default balances of the respective borrower accounts.

For More: KBL Re-Auctions Mortgaged Properties