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Section 94
Preference of payment

(1) A bank or financial institution that has gone into compulsory liquidation shall pay the liability according to the following order of priority:- (a) Expenses incurred for compulsory liquidation, (b) The amount up to the amount of deposit insurance protection as per the prevailing law or such amount shall be deposited so as not to exceed the total accepted claim amount of the depositor. If the amount has been paid to the deposit insurance protection organization established according to the law, the equivalent amount. (e) Amounts to be paid to Nepal Government, local bodies or National Bank, (f) Amounts due to other banks or financial institutions due to fees or assessments, (g) Amounts due to other creditors or other claims, (h) According to prevailing laws Shareholders. (2) Notwithstanding anything written elsewhere in this paragraph, if a creditor applies for any property that has not been sold at the time of sale and distribution in accordance with section 91, the value of such property shall be subject to the criteria determined by the National Bank. The liquidator may transfer the property to such creditor. (3) Notwithstanding anything else written in this paragraph, if any property is kept for the protection of secured creditors, such property shall be used only to fulfill their obligations.