High Court halts auction of KUSCCO assets over Ksh108.8 million debt

KUSCCO Centre. Photo/File

The High Court has temporarily stopped the auction of assets belonging to the Kenya Union of Savings and Credit Cooperatives (KUSCCO) after the umbrella body challenged enforcement of a Ksh108.8 million debt owed to RUPSA Sacco.

Justice Linus Kassan granted a 30-day stay, halting the sale of KUSCCO’s motor vehicles and office equipment to allow the cooperative to pursue an appeal against a tribunal decision issued in December 2025.

The orders followed an urgent application filed on January 27, 2026, in which KUSCCO sought to block execution proceedings initiated by RUPSA Sacco formerly (PCEA Ruiru Co-operative Savings and Credit Society). The dispute centres on fixed deposits placed with KUSCCO between 2018 and January 2024, which the institution failed to repay upon maturity.

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Court filings show that auctioneers had already moved to enforce the decree, proclaiming KUSCCO’s assets on January 21, with attachment scheduled for January 28. Items listed included vehicles and office furnishings.

In its submissions, KUSCCO warned that proceeding with the auction would undermine its pending appeal and cause irreparable loss. The cooperative acknowledged the debt but attributed the default to serious liquidity challenges that emerged in late 2023.

By Mercy Kokwon

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