5 SACCOs Under Probe
Five Saccos are under investigations by the cooperative fraud on allegations of misappropriation of member’s savings.
Speaking during the launch of a cooperative digital banking services platform in Mombasa, Cooperatives Cabinet Secretary Simon Chelugui says Sacco Societies Regulatory Authority has signed a Memorandum of Understanding with the Ethics and Anti-Corruption Commission to investigate any corruption and misappropriation cases in Saccos in efforts aimed at protecting member’s savings.
The cooperative movement signed a memorandum of understanding with the Ethics and Anti-Corruption Commission to support the establishment of industry best practices and instill integrity that had waned over the years, highlighted by increasing cases of Saccos collapsing due to mismanagement and embezzlement of members’ funds.
Since the signing of the MoU, a number of complaints against errand Sacco officials have been handled. The government says the landmark deal has helped enhance good corporate governance in Saccos.
The Sacco Societies Regulatory Authority is scrutinizing applications from 2,000 non-deposit saccos.
The cooperative movement is also readying for the role out of the central liquidity facility this August. This comes as the Cooperative Alliance of Kenya has launched its 800 million shillings coop tech platform that will facilitate information sharing among member Saccos.
Chelugui said the technology has become a driving force behind change in every industry and plays an integral role in sustaining co-operatives by offering the ability to manage resources,improve efficiency and create products and solutions for the clients needs.
CAK council Executive Director Daniel Marube said the launched Shs 800 million technology platform will ensure the safety of depositors fund in savings and credit cooperative organisations in the wake of growing fraud.
SOURCE: KNA
Tags: Signstv Eacc Simon Chelugui Saccos
