Kathmandu. The Department of Cooperatives has directed to strictly follow the legal provision that allows a person to be the director of only one cooperative at a time.

The Department of Cooperatives has directed the cooperatives to comply with the provision in Section 9410 (950) of the Cooperative Act, 2017 that a person can be the director of only one cooperative at a time.

Clause 41 (5) of the Cooperative Act-2074 states that a person can be a sole director of a cooperative at the same time. Similarly, Clause (c) of Section 44 (1) states that if a director is a director of another co-operative society, he/she shall not continue in his post.

Earlier, directives and standards were issued by the Department and the Cooperative Regulatory Bodies for the implementation of this provision. However, the department has issued the directive again after receiving complaints that some people are still working as dual operators.

The department has directed the board members who are still in dual board to implement the legal provision as soon as possible.