Kathmandu. The government has clarified that the amount received from the loan recovery of the troubled cooperatives has been returned to the affected savers.

Issuing a press release, the Problematic Cooperative Management Committee under the Ministry of Land Management, Cooperatives, Federal Affairs and General Administration said its attention has been drawn to the public complaints and confusion about the return of savings from the state treasury.

According to the Problematic Cooperative Management Committee, the work of returning the savings of small savers of 20 cooperatives declared as problematic is being done in a phased manner. However, the revolving fund has not yet been set up.

According to the committee, the task of recovering loans from problematic cooperatives and returning the savings from the money received from asset management to the savers of the cooperatives is being carried out continuously as per the prevailing legal provision.

The statement reads, “The committee has not yet established a revolving fund and its account has not been operated, however, the task of recovering the loans from the problematic cooperatives and returning the savings to the savers of the cooperatives from the amount received from the management of the property is being carried out continuously as per the prevailing legal provision.” ’

In order to implement the provision contained in point no. 99 of the 100 agendas approved by the meeting of the Council of Ministers on March 29, 2002, the Government of Nepal has issued the ‘Procedure on Establishment and Operation of Savings Withdrawal Revolving Fund of Members of Problematic Cooperatives, 2083’ to be under the problematic cooperative management committee.

According to the committee, the committee has been working by giving priority to the recovery of loans and has been returning the amount recovered from the borrowers of the cooperatives to the savers of the cooperatives so far.