Kathmandu. The umbrella organizations of banks and financial institutions have said that their serious attention has been drawn to the arrest of Chief Executive Officer (CEO) of Nepal Investment Mega Bank, Jyoti Prakash Pandey.

Although the principle of ‘gold and detention’ should be adopted, it has urged the concerned authorities to keep Pandey out of jail and carry out investigation to make the investigation process effective.

The bankers’ association has said that arresting the CEO for loan recovery could weaken public confidence in the bank, reduce the credit of the institution and affect the overall financial stability.

The Central Investigation Bureau of Nepal Police arrested Pandey on Wednesday morning. After the incident, bankers have jointly reacted and said that the government has taken actions affecting the credibility and stability of the banking sector.