Section 14: Inspection

1) The Government of Nepal or the Bank may inspect, or cause to be inspected, the accounts, books and other documents of any licensee.

2) It shall be the duty of each licensee to submit all such accounts, books and documents relating to the foreign exchange transaction as are in his or her custody or control and as demanded by the employee designated to make inspection pursuant to sub-section (1) to the employee within the time-limit given by that employee and give all statements or information relating to such exchange transaction as demanded by him or her. If the licensee is a firm, company, or body, the director of the company, the concerned officer, partner, or office-bearer related to that business shall submit or provide such accounts, books, documents, statements, or information.

3) The employee designated to make inspection pursuant to sub-section (1) may inquire any licensee or his or her agent or the director or concerned officer of a licensee person, firm, company or body into the matter in writing or verbally.

4) If the director or officer of a licensee person, firm, company or body does not submit or give such accounts, books, documents, statements or information as required to be submitted or given pursuant to sub-section (2) or does not answer any question put by the employee designated to make inspection, such director or officer shall be deemed to have violated this Act.

5) If, in making inspection, the employee designated to make inspection pursuant to sub-section (1) finds any foreign exchange or documents, accounts, books or statements pertaining thereto in contravention of this Act, the employee may take such foreign exchange or documents, accounts, books or statements pertaining thereto in his or her custody or put the same in any safe or room and seal the safe or room.

6) In taking such a foreign exchange or document into his or her custody or making such seal, the employee designated to make inspection pursuant to sub-section (1) shall do so in witness of the concerned licensee or at least two other persons and prepare a statement of the things or matters taken into custody and cause the same to be signed by the witnesses.