Banking Law in the Light of Nepalese Supreme Court Verdict

Abstract

Banking law is the branch of civil law which tries to perpetuate credibility of banking business. Good governance, customer protection, transparency and financial safety are the major concern of banking jurisprudence. In contemporary time, banking business is much risky job across the globe because if there is no proper awareness of existing laws and regulations, it may not only be the threat of the job but also causes huge amount of penalty to secure public confidence and protection of depositors. Efficiency in the fund management is necessary. Nepal doesn’t have long history of banking business. Yet, its scope has been increasing and ever increasing. Supreme Court of Nepal has developed new dimensions of banking jurisprudence for safe and secured transaction of banking business. Cross border banking poses new level of threat, which is necessary to resolve with global cooperation. As a common law following country, precedence of the court is equivalent to the legislation in Nepal until quashed by new decision.