Cooperative Frauds

Defrauding of cooperatives has become a hot issue in Nepal these days. Thousands of people have lost their money deposited in cooperatives. Misappropriating the depositors’ hard-earned savings is an unashamed flouting of the core principles of cooperative business based on ethical values and practices. Their key objectives are to meet the economic needs of their members and community. The notion of cooperatives evolved to cater goods and services to the people, which the traditional markets fail to offer them. The cooperatives play a significant role in boosting small economies through the collective efforts of community members. This has also been evident in the United Nations Conference on Sustainable Development (Rio+20)’s recognition of the co-operatives in "contributing to social inclusion and poverty reduction, in particular in developing countries.”