The Insurance Board has finally taken over the management of Everest Insurance Company dissolving incumbent board and suspending its Chief Executive Officer after a year long tussle with line authority. This is the first instance of taking over the management of any Insurance company by regulatory authority in the insurance history of Nepal. The Insurance company was promoted by one of the leading corporate houses of Nepal; Khetan Group.
Santosh Parsai, a Chartered Accountant by profession leads the management team backed by two other members and expert team of advisory committee to resume the operation of the company. The Board has directed new management to probe and assess the actual loss caused to the company and recover the loss and take an appropriate action against them.
The issue spilled over when Everest Insurance settled the claim of Himalayan Snax, a group company of Khetan Group without receiving the final report from the surveyor.