A procedure has been developed to return the money to the affected citizens who have been stranded with small amounts of money by creating a revolving fund and sending it to the Ministry of Finance.
What you should know
The government is preparing to return deposits of cooperatives worth Rs 100,000 and below. The Ministry of Land, Cooperatives and Poverty Alleviation has prepared a procedure with the aim of returning the savings of cooperative victims.
A revolving fund has been created to return the money to the victims who have been trapped in small amounts and a procedure has been prepared and sent to the Ministry of Finance. After the procedure is approved by the Ministry of Finance, it will be taken to the Council of Ministers with the opinion of the Ministry of Law and after approval from there, the savings will be returned to the victims, informed the Ministry's Joint Spokesperson Damodar Wagle.
According to him, the amount will be returned to the low savers in the first phase soon to provide state guarantees to the victim families. The Ministry of Finance will deposit a certain amount as seed capital in the revolving fund. From that, the money will be provided to the savers of the cooperatives that have been declared problematic. The amount received by auctioning those cooperatives will be deposited back into the same fund and financial resources will be managed.
The victim savers have been running a national campaign by forming various committees to return their money. There are about 34,000 cooperatives operating across the country. Since these cooperatives are registered separately under the three levels of government, there is a problem in regulation. The victims have been demanding that their money be returned and action be taken against the fraudulent operators.
Cooperative organizations that operate in the community based on the ideals and principles of cooperatives and serve the interests of cooperative members have made good progress, while most cooperatives that collect savings and provide loans against the principles are in trouble.
