It was formed on 25 May 1924 in Darjeeling, a Nepali speaking town in West Bengal state of India.

The organisation was awarded with Jagadamba Shree Puraskar for the year 2049 BS (1992-1993), for preservation, promotion and uplifting of Nepali language.

[1] The organisation conducts various conferences, publish books and journals and works for the overall preservation of Nepali literature.

The organisation was formed on 25 May 1924 after a public assembly by eminent Nepali scholars Surya Bikram Gyawali, Dharanidhar Koirala, Parasmani Pradhan as well as other contemporaries.

Some of the non Nepali members of the organisation were Kalimpong scholar John Anderson Graham, Brigadier General Charles Granville Bruce of London, as well as Ralph Lilley Turner, professor of Sanskrit at the SOAS University of London.