August 17, 2022

Sacco Review|The Leading Newspaper for Co-operative Movement in Kenya

The Leading Newspaper for Co-operative Movement in Kenya

Bandari Sacco sheds off tough past, posts good returns


By Jackson Okoth

Bandari Sacco Society Limited posted net surplus of Sh 182,652,934 in the financial year ended December31st, 2016 compared to Sh 57,284,534 the previous financial year. According to the Society’s statement of profit or loss and other comprehensive income, interest on loans went up to Sh 644.6 million in 2016 from Sh582.8 million the previous financial year. Its net interest income grew significantly to Sh 501.8 million from Sh 275.7 million at the close of the 2015 financial year. Bandari Sacco Society Limited total comprehensive income grew to Sh 146 million at the end of financial year 2016 compared to Sh 45.8 million the previous year.

The Sacco posted a decline in Member Deposits from Sh 644 million in 2015 to Sh586.8 million at the close of financial year ended 31st December, 2016.The amount of loans disbursed to members also declined during the period under consideration from Sh 360.7 million in 2015to Sh 343. 7 million at the  end of last year. This decline in both member loans and deposits reflects the upheavals that Bandari Sacco Society has been undergoing in recent months.

Trouble first begun   when the Sacco lost cash from ATM leaks, a situation that led to the exit of its  CEO John Ragama and several senior management officials. After investigations by the County Cooperative Officer in Mombasa, members demanded for the exit of the entire Bandari Sacco Board.

Mr. Danson  Kyule Muinde, who was the Chairman of Bandari Sacco until November5th, 2016, has since been replaced by Mr Tobias Ken Sungu.  Ragama has been replaced as CEO by Mrs Agnes Munyi in an acting capacity. The Sacco’s Supervisory Committee is headed by Mr   Bildad  Okeyo  Kisero. Bandari Sacco has spent Sh3,954,890 to draw up a new strategic plan as it struggles to put its house back in order