Kathmandu: The Office of the Problematic Cooperative Management Committee announced that full repayments have been made to over 6,000 depositors in crisis-hit cooperatives.

As of October 28, 100% of deposits were returned, while partial payments were made to an additional 438 claimants. To date, approximately NPR 1.515 billion has been paid out, sourced primarily from borrowers of these distressed cooperatives.

In a program held on Monday, Minister for Land Management, Cooperatives, and Poverty Alleviation Balaram Adhikari outlined efforts to address cooperative issues through legislative amendments. The proposed changes will include provisions to freeze the assets and passports of family members involved in fraudulent cooperative practices, as the Ministry considers designating additional cooperatives as problematic to secure depositor interests.

Ministry Secretary Arjun Prasad Pokharel affirmed the Ministry’s commitment to strengthening the cooperative sector and addressing concerns raised by victims of the financial cooperatives’ mismanagement. He reassured stakeholders that agreements reached with cooperative victims would be upheld, thus eliminating the need for further disputes or protests.

Committee Chair Shriman Kumar Gautam revealed that 19 troubled cooperatives remain under review, with plans to resolve pending deposits for three embattled cooperatives. A public notice has been issued, requiring borrowers from the remaining cooperatives to repay their loans by October 31. He added that borrowers who fail to comply may have their properties and passports frozen after Tihar, along with family members implicated in loan defaults.

The Committee’s efforts represent a significant step toward stabilizing the cooperative sector and ensuring that affected depositors regain access to their savings.