Cooperative fraud victims to begin receiving repayments from mid-May
Summary
Victims of cooperative fraud in Nepal will start receiving repayments from mid-May through a revolving fund established by the Problematic Cooperatives Management Committee, prioritizing small depositors first.
Key Points
- Victims of cooperative fraud will begin receiving repayments from mid-May from a newly established revolving fund.
- The revolving fund currently stands at about Rs600 million, combining government budget allocation and recovered funds from borrowers.
- Repayments will be made in phases, starting with small depositors and progressively covering larger claims based on loan recovery and asset sales.
- Strict measures, including public naming and service restrictions, will be imposed on borrowers who fail to repay loans.
