KATHMANDU: Nabil Bank Limited has won a legal battle in China over counter-guarantee payments related to the Trishuli Hydropower Company Limited project.

The Chongqing Higher People’s Court ruled in favor of Nabil Bank, enabling it to receive four bank guarantees worth USD 7,449,386.32.

The dispute arose after Chinese construction firm Suifa ANHE Group breached its contract with Trishuli Three B Hydropower Project, prompting China Everbright Bank, Chengdu Branch to initially refuse counter-guarantee payments.

Nabil Bank had received a payment call on Dec 1, 2023, and notified China Everbright Bank via SWIFT.

However, on Dec 10, 2023, the bank cited a court injunction as the reason for withholding payment.

Nabil Bank had already honored its obligation by paying Trishuli Hydropower under the bank guarantee.

The court first ruled in Nabil Bank’s favor on Jan 17, 2024. Suifa ANHE Group appealed, but the Chongqing Higher People’s Court confirmed the bank’s victory on Sept 23, 2025.

Trishuli Hydropower had signed a contract with Suifa ANHE Group on 14 March , 2018 to complete construction in three years.

After the contractor failed to meet the deadline, the company canceled the contract on 16 Dec, 2023 and seized the bank guarantee.