Ekeza Sacco founder asks members to accept land as repayment


Ekeza Sacco founder David Kariuki Ngari, commonly known as Gakuyo, has revealed that the Sacco is willing to repay members who still claim their savings from the Sacco through land.

Gakuyo revealed that the Sacco’s coffers have run dry due to the current harsh economic environment and that there’s no money to repay the 2,000 members who are yet to receive their savings.

He noted that the Sacco has huge parcels of land in Kabati in Murang’a County, Kilimambogo in Meru county, Konza in Kajiado County, Nakuru and Thika and that members can only get land parcels worth their savings.

He said members are allowed to decide where they want to acquire the land parcels, adding that most members have already agreed to be repaid with land whose value is appreciating at high rates.

“I’m calling on the members who are yet to receive their dues to accept the land parcels because that’s where the money is,” he said.

Gakuyo also urged members to be aware of auctioneers and lawyers who are hell bent on misleading them to file legal suits in courts with a promise of auctioning the Sacco’s properties to repay them.

He pointed out that the Sacco’s assets were disposed and money generated used to repay some members.

He revealed that some members have defaulted on loan repayments amounting to Ksh300 million and urged them to continue repaying loans so that the Sacco can clear its dues to its investors.

The Sacco has been in an intense standoff with some 53,000 members who have been seeking repayment of their savings since the Sacco’s troubles started in 2018.

In March 2018, the Sacco was deregistered and its license revoked by the then Commissioner for Cooperative Development Mary Mungai for violating its operation rules as well as failing to comply with the law.

At the time of revocation, the Sacco had Ksh2.56 billion in deposits. Its licensed was reinstated in February 2019 after it met the set conditions. However, its troubles didn’t end there.

According to a report read to members during a Special General Meeting at Moi International Sports Center, Kasarani in February 2019, the Sacco owed members over Ksh2 billion.

Gakuyo says they have managed to repay members Ksh800 million in cash and assets including land parcels and vehicles worth Ksh1 billion.

He noted that the Sacco still owes Ksh450 million to its investors which now can only be paid in kind.

By our reporter

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