Kathmandu: The Bagmati state government has stopped registering new cooperatives. The decision was taken at a ministerial meeting of the state government. It is stated that the registration of new organizations has been stopped on the basis of the report of the committee formed to investigate the complaints regarding the registration process of cooperatives registered by the Ministry of Land Management, Cooperatives and Poverty Alleviation in the past.

According to Khagendra Poudel, branch officer of the ministry, the registration of new institutions has been postponed for that period as the rules and regulations of the state have to be amended and additional procedures have to be formulated. As per the information, savings loan and multi-purpose cooperatives will not be registered at present but other thematic cooperatives will be registered without conducting main business of savings loan on the basis of need.

The ministry will also monitor whether the cooperatives registered in the past did not work as per the objectives and within the scope of work. Institutions will be given a period of 6 months to work according to the objectives and then monitoring will be done to find out if it has not been done accordingly. During that period, the organizations will change the subject matter of the organization that is not working as intended and will not be able to expand the membership within the taken area.