(1) A foreign investor investing in accordance with this Act may enter into a tripartite escrow agreement with his partner investor or another foreign investor and any commercial bank or infrastructure development bank recognized by Nepal Rastra Bank for his investment related work in Nepal. Explanation: For the purposes of this section, "Scrooge Agreement" means an agreement between the parties to the agreement whereby the parties to the agreement allow any third party to secure any amount, evidence or any security for the security of such transaction and after the fulfillment of the contractual obligations of the parties to the agreement, such amount, evidence A document or surety shall be understood to be an agreed agreement to be made available to the concerned party.
(2) According to sub-section (1), the bank that executes the agreement (Scrooge Agreement) shall act as the agent of the parties to the agreement.
(3) Other arrangements related to escrow agreement to be made according to sub-section (1) shall be as prescribed.