Loan Recovery Process Initiated from 19 Troubled Cooperatives, Final Deadline Set for End of Ashar

Kathmandu, Ashar 15 — The Office of the Problematic Cooperative Management Committee has initiated the loan recovery process from 19 cooperatives that have been officially declared “troubled.” The committee has issued a public notice giving board members, debtors, managers, and staff until the end of Ashar (mid-July) to settle their outstanding dues.

According to the committee, the Ministry of Land Management, Cooperatives and Poverty Alleviation, under Section 10 of the Cooperative Act 2074, has authorized the initiation of asset management and liability clearance of the troubled cooperatives. Despite repeated public notices, the concerned individuals have not cleared their dues, prompting the committee to issue a final warning.

The committee has stated that if dues are not settled within the specified deadline, a full recovery process will begin from Shrawan 1 (mid-July), including recovery of principal, interest, and penalties accrued up to that date.

So far, the government has declared 19 savings and credit cooperatives as troubled. These cooperatives are accused of misappropriating billions of rupees in public deposits. To return the savings to depositors, the committee is moving forward with legal and administrative recovery procedures.

List of Declared Troubled Cooperatives:

1. Pacific Saving & Investment Cooperative Ltd.

2. Prabhu Saving & Credit Cooperative Ltd.

3. Oriental Cooperative Ltd.

4. Gorkha Saving & Credit Cooperative Ltd.

5. Standard Saving & Credit Cooperative Ltd.

6. Pashupati Saving & Credit Cooperative Ltd.

7. Shivshikhar Multipurpose Cooperative Ltd.

8. Nepal Cooperative Financial Institution Ltd.

9. Lunibha Multipurpose Cooperative Ltd.

10. Hamro Naya Krishi Cooperative Ltd.

11. Agriculture Development Multipurpose Cooperative Ltd.

12. Societal Multipurpose Cooperative Ltd.

13. Vegas Saving & Credit Cooperative Ltd.

14. Tulsi Multipurpose Cooperative Ltd.

15. Shree Laligurans Multipurpose Cooperative Ltd.

16. Consumer Saving & Credit Cooperative Ltd.

17. Kohinoor Hill Saving & Credit Cooperative Ltd.

18. Kantipur Saving & Credit Cooperative Ltd.

19. Gautam Shree Multipurpose Cooperative Ltd.

The committee has also warned of potential legal action, including asset seizure and deposit freezes, for those who fail to comply within the given timeframe.