. The Gorkha Department Store is set to go up for auction in Itahari of Sunsari district. Himalayan Bank (HBL) has issued a notice to auction the store and its associated assets after it failed to repay the loan taken from Himalayan Bank on time.

According to the bank, the Gorkha Department Store seems to have taken a loan of about one billion rupees.TAG_OPEN_p_13 The bank has warned that it would blacklist the loan recovery process if the payment was not made within 35 days. According to the bank’s notice, the deadline is till January 17, 2002.

The bank has started auctioning 42 plots of land in Itahari, Baklauri, Kanepokhari, Keroun, Chiuri Danda, Hansposa and Ekamba of Khotang.TAG_OPEN_p_12 The Toyota Land Cruiser, Tata Intra and Kia Seltos used by the company’s proprietors have also been put up for auction. The notice has been issued in the name of the company’s proprietor Balaram Acharya, Anju Acharya Khatri and Santosh Acharya, Sushil Acharya and Balaram Acharya.

According to the credit rating agency, the turnover of the Gorkha department store has been declining significantly in recent years as competition has increased.TAG_OPEN_p_11 The store, which had a turnover of around Rs 1 billion two years ago, is expected to do only Rs 600 million in 2024. Although there is a business with more cash transactions, it is said that due to the recession in the market, the income has not increased as expected.

Balaram Acharya, who started the department store culture in the eastern region, has been under financial pressure due to the slowdown in real estate business in recent years.TAG_OPEN_p_10 The lack of expected cash flow from the real estate business has created problems in the operation of the entire business and this has also affected the Gorkha Department Store. According to the bank, the bank is unable to pay the interest due to the sluggishness of business activities for a long time.

Acharya had opened Gorkha Department Store at the main chowk of Itahari in June 1990 and has since opened five branches in 22 years.TAG_OPEN_p_9 Acharya, who had made a significant contribution to the development of shopping culture in the past, is now facing a serious financial crisis.