Troubled Ekeza Sacco has announced the commencement of member deposit refunds in five phases.
Founder David Kariuki Ngari aka Gakuyo said he has drawn a time plan for refunding Sh2.4 billion that were audited as having been misappropriated by the senior management team, under his chairmanship.
“By end of this week I will have refunded all members mapped to be 1,500 who had Sh5,000 downwards as savings in Ekeza Sacco,” he said.
In the second phase, those owed up to Sh20,000 deposits will be refunded followed by those with up to Sh50,000, then those with up to Sh200,000. The others will then be addressed.
Mr Ngare anticipates the drive to take a maximum of two years given the nature of liquidation strategy he is implementing.
“We are disposing of our assets to get money. We are also pursuing those who owe us…and we are also seeking out strategic partners to revive our businesses. We have the goodwill to guarantee no member will lose any deposit…All we seek is patience and understanding,” he said.
He has sent out short messages to members informing them of the development with those who fall under the first phase told to report at Calvary Chosen Centre evangelical church in Thika for the refunds.
The church is a subsidiary of outfits that include Gakuyo Foundation and Gakuyo Real Estate. He said the move has been facilitated by the acting commissioner of Cooperatives Didacus Ityeng’ “revisiting our terms of closure and giving us a leeway to handle our crisis in good faith”.
Kenyan Business Feed is the top Kenyan Business Blog. We share news from Kenya and across the region. To contact us with any alert, please email us to [email protected]