Small Depositors of Two Problematic Cooperatives Begin Receiving Their Deposits Back

The Problematic Cooperatives Management Committee has refunded the savings of small depositors of Kantipur Saving and Credit Cooperative Ltd and the Pashupati Saving and Cooperative Ltd. 

According to the Committee, savings have been refunded to 334 depositors of  Kantipur Saving and seven of Pashupati Saving. 

The government-formed Committee has made it clear that refunds were made using funds generated through the recovery of loans disbursed by the problematic cooperatives themselves. 

The Committee said that in the past 15 days since July 17, loans were recovered from 65 borrowers of various problematic cooperatives. 

The Committee said that, in the first phase, the refunds have been provided to depositors with smaller savings. 

The remaining deposits will be refunded gradually by categorising savers according to the size of their deposits. 

It is said that the process of returning savings to depositors will continue in accordance with prevailing legal provisions, using funds generated from loan recovery and the management of assets belonging to the problematic cooperatives. (RSS)