Banking News – The Troubled Cooperatives Management Committee has refunded savings to 56 small depositors of Shiv Shikhar Cooperative, continuing the government’s efforts to compensate victims of financially distressed cooperatives.

According to the committee, around 1,400 depositors of Shiv Shikhar Cooperative have now received their savings under the ongoing reimbursement program.

The committee said the first phase of refunds has prioritized depositors with smaller savings balances. Refunds for the remaining depositors will be made gradually based on the classification of their savings amounts.

The government clarified that the refunded money has been sourced from loan recoveries made from troubled cooperatives, rather than from the state budget.

It further stated that the process of recovering loans, managing the assets of troubled cooperatives, and returning savings to affected depositors is being carried out continuously in accordance with the prevailing legal provisions.