KATHMANDU, May 12: Kathmandu Metropolitan City (KMC) has announced its intent to take action against cooperatives operating within its jurisdiction that fail to regularly update their activity details.
Currently, 1,953 cooperatives are operating in the metropolis, but only 955 of them consistently submit annual statements, according to the metropolis.
Balram Tripathi, head of the Cooperative Department at KMC, said that only 50 percent of these cooperatives submit their details. KMC’s Cooperative Department is actively monitoring cooperatives and preparing to take action against those who neglect to submit their details. As per the regulations, each cooperative is required to provide an annual account of its activities.
KMC instructs all cooperatives within metropolis to submit rele...
Tripathi said that after repeated notices to submit details were ignored, the department initiated monitoring. KMC’s Cooperative Department is ready to take action against those found guilty of non-compliance during monitoring, including suspension of regular operations and revocation of permits.
Since July 17, 2018, constitutional provisions have mandated the abolition of all divisional cooperative offices nationwide, transferring regulatory and monitoring responsibilities to the local governments.
The KMC had already enacted the Cooperative Act in 2074 BS before the monitoring of the cooperatives was handed to the local governments. Cooperatives within the metropolis operate under the same legislation.
Of the total cooperatives in the metropolis, 1,628 are savings and credit cooperatives, 264 are multi-purpose cooperatives, with others comprising labor, agricultural, consumer, skill-based, education, communication, tourism, tea, and common sector cooperatives.
