How to Claim a 20 Percent Penalty in NEPSE?

A Step-by-Step Guide on How to Claim a 20 Percent Penalty in NEPSE?

Investing in the Nepalese stock market can be rewarding, but it’s essential to be aware of the rules and regulations that govern it. One such rule that investors should be acquainted with is the 20 percent penalty for non-compliance with certain NEPSE (Nepal Stock Exchange) regulations. In this comprehensive guide, we will walk you through the process of claiming a 20 percent penalty in NEPSE, ensuring that you understand the procedure thoroughly.

How to claim 20 Percent Penalty NEPSE

Understanding the 20 Percent Penalty in NEPSE

The 20 percent penalty in NEPSE is imposed on investors who fail to adhere to specific regulations set by the Nepal Stock Exchange. These regulations are in place to maintain transparency, integrity, and fairness in the market. It’s crucial for investors to be aware of these rules and the consequences of non-compliance.

Eligibility for Claiming the 20 Percent Penalty

Before diving into the process, it’s important to determine whether you are eligible to claim the 20 percent penalty in NEPSE. Typically, you may be eligible if:

  1. You are a registered investor in the Nepalese stock market.
  2. You have experienced non-compliance issues related to NEPSE regulations.

Common Reasons for Imposing the 20 Percent Penalty

The 20 percent penalty in NEPSE is typically imposed for various reasons, including:

  1. Late Submission of Documents: If you fail to submit required documents within the specified timeframe, you may be subject to the penalty.
  2. Failure to Update Information: It is essential to keep your investor information up to date. Failing to update your details may result in the imposition of the penalty.
  3. Non-Payment of Dues: Any outstanding dues, such as transaction fees or charges, should be settled promptly. Failure to do so may lead to penalties.
  4. Violation of Trading Rules: Engaging in unauthorized trading activities or violating trading rules can also trigger the 20 percent penalty.

Step-by-Step Guide to Claiming the 20 Percent Penalty in NEPSE

Now, let’s walk through the steps to claim the 20 percent penalty in NEPSE:

Step 1: Identify the Non-Compliance Issue

The first step is to identify the specific non-compliance issue that has resulted in the imposition of the 20 percent penalty. This may involve late document submission, non-payment of dues, or any other violation of NEPSE regulations.

Step 2: Gather Necessary Documents

To claim the penalty, you will need to gather the following documents:

  • Identification documents: Ensure you have a valid ID and your investor details on hand.
  • Evidence of compliance: Collect any evidence that supports your claim that you have rectified the non-compliance issue.

Step 3: Contact NEPSE Authorities

Reach out to the NEPSE authorities to initiate the penalty claim process. You can do this by visiting the NEPSE office or contacting them through their official website. Be prepared to explain your situation and provide the necessary details.

Step 4: Submission of Documents

Submit all required documents to the NEPSE authorities. Make sure that your submission is complete and accurate. Any missing information may result in delays in processing your claim.

Step 5: Review and Verification

NEPSE authorities will review your submission and verify the documents provided. This step ensures that you have indeed rectified the non-compliance issue.

Step 6: Penalty Calculation

The 20 percent penalty will be calculated based on the nature and severity of the non-compliance issue. NEPSE authorities will determine the exact penalty amount.

Step 7: Payment of Penalty

Once the penalty amount is determined, you will be required to make the payment. Ensure that you pay the penalty promptly to avoid any further complications.

Step 8: Confirmation and Documentation

After receiving your payment, NEPSE authorities will confirm the settlement of the penalty. Make sure to retain all documentation related to the penalty claim for your records.


Claiming a 20 percent penalty in NEPSE can be a straightforward process if you follow the necessary steps diligently. It’s essential to stay informed about NEPSE regulations and ensure compliance to avoid such penalties. However, if you do find yourself in a situation where a penalty is imposed, this guide can help you navigate the process efficiently.

For official information and guidelines related to claiming penalties in NEPSE, refer to the NEPSE website and consult with NEPSE authorities for the most up-to-date information and official documents.

Remember that adherence to NEPSE regulations not only prevents penalties but also contributes to a fair and transparent stock market, benefiting all investors and stakeholders.