Majority of the operators of troubled cooperatives failed to appear before the high-level commission to explain their status. 

The high-level commission, formed to help recover public savings from troubled cooperatives, has summoned promoters and directors of seven such cooperatives, while operators of the remaining 56 have remained out of contact.

The commission, headed by former chairman of the Special Court Gauri Bahadur Karki, has received more than 13,000 complaints against 63 cooperatives from across the country.

“We have already issued a notice in the name of the absentees with a certain deadline,” said Karki. 

“We will initiate action against those failing to appear before the commission by freezing their property and bank accounts if they fail to appear within the extended deadline,” he added.

The highest number of complaints was filed against Oriental Cooperatives promoted by realty trader 

Sudhir Basnet. Oriental ahs more than Rs 3.6 billion in public deposits.

“Of the total complaints against Oriental, 200 are related to apartment and housing issues,” said Karki.

Those summoned by the high-level commission include Sudhir Basnet of Oriental, Rajendra Shakya of Guna, Dhirendra Prasad Pradhan of Pacific, Rajendra Lal Manandhar and Binju Shrestha of Corona, Nagendra Sharma of Subha Shree, Sagun Pandey of Nawa Rajdhani and Kamal Samsher Rana and Lekhraj Rai of Sahayata cooperatives. 

“They have been asked to submit the entire transaction details of their cooperatives,” said Karki.

“We have also asked them to come up with their plans on how they would pay 

back their depositors’ money,” he added.

During the interrogation, Basnet of Oriental expressed commitment that he would pay back the depositors’ money by selling his 22 housing and real estate projects. 

“The cooperative plunged into crisis due to poor management despite having strong back up of fixed assets,” said Karki.

Shakya of Guna also committed to pay back the depositors’ money either by providing them with land, shares or apartment. “Shakya has assured to pay back cash if any of the depositors do not accept the assets for their deposited money,” said Karki.

Pradhan of Pacific also pledged to pay back the money by selling his Bagmati apartment project which is under construction in Sankhamul, Kathmandu. 

Karki said rest of other promoters failed to present firm plans. “While the chairmen of the rest are on the run, those who are in contact are blaming each others,” he said.

Meanwhile, the commission is starting to scrutinise deposit claims from Sunday. “We have hired experts for processing the complaints and give them a deadline of two weeks to complete the job,” said Karki.

Formed two months ago, the commission has been asked to assess the audit report of the cooperatives and examine fixed and movable assets of the operators and their relatives.

Earlier, a committee headed by an NRB deputy governor identified only 27 institutions as trouble cooperatives. 

According to the committee’s report, most of these cooperatives plunged into crisis due to their heavy investment in the real estate sector and bad governance.