Study underway to examine cooperatives related issues: Minister Adhikari

Kathmandu, Nov 19: Minister for Land Reforms, Cooperatives and Poverty Alleviation Balaram Adhikari assured that the government was conducting an in-depth study to resolve the problems surfaced in the country's cooperative sector.     

At an interview with the Rastriya Samachar Samiti (RSS) here on Tuesday, Minister Adhikari highlighted the formation of a special committee tasked with examining the issues within the cooperative sector so as to resolve the issues.     

The Cooperatives Problem Solving Committee is currently examining the concerns related to the cooperatives sector, the Minister assured. He also urged the public not to hanker after the rumours that the defaulters need not pay back their loans and can walk free.     

"They have to repay the loans," he asserted. Recognizing Cooperatives as a crucial platform for the low-income people to save their hard-earned money, he said that there was no alternative to move forward by addressing the issue.     

Expressing his concern over the tendency of spreading malicious and misleading perception towards cooperatives in the recent times, the Minister clarified that not all cooperatives are ill-intentioned ones or wrongdoers.     

Noting that there were several cooperatives that have made a significant positive contribution, he admitted that there has been a lack of effective regulations and control in the cooperative sector. He, thus, called for amendments to the Cooperatives Act.     

He also acknowledged the need for undertaking a number of measures to streamline the cooperatives sector and address the issues in the sector including setting up a dedicated information center, a fund, a tribunal and a new regulatory body to well manage the sector.     

He shared that study and discussions were underway following the report of the parliamentary committee looking into the ongoing cooperatives scam and frauds. The Minister informed that preparation were afoot for amending Cooperatives Act and forming a new regulatory body.     

He added that efforts were coordinated among three-tiers of the government to review the number of cooperatives at the local level and determine where new cooperatives should be established.     

According to him, 22 cooperatives were identified as crisis-ridden while study and investment into embezzlement and other irregularities in cooperatives sector are ongoing.(RSS)