Hundreds of members of the collapsed Kenknit Savings and Credit Cooperative Society (SACCO) in Eldoret may finally see a path to justice after the County Government of Uasin Gishu pledged support for the cooperative’s revival and called for accountability over the alleged mismanagement of millions of shillings belonging to members.
Speaking during a consultative meeting with the Sacco’s leadership, County Executive Committee (CEC) Member for Trade, Cooperatives and Enterprise Development, Dr. Zeal Chebunet, assured members that the county would explore all available avenues to facilitate the Sacco’s return to operations. Chebunet noted that the county remains committed to strengthening the cooperative movement and safeguarding members’ investments, adding that efforts to revive Kenknit Sacco aim to restore confidence in the sector and protect livelihoods.
The appeal for county intervention was led by Sacco Chairman Washington Luvanda, who called on the county to assist in pursuing individuals allegedly responsible for the mismanagement of members’ funds that contributed to the cooperative’s collapse.
According to Sacco officials, an audit conducted in 2021 revealed that approximately Ksh 46 million had allegedly been mismanaged, leaving members with no recourse since the Sacco folded in 2019.
The Kenknit Sacco was established to serve employees of Ken-Knit (K) Ltd., East and Central Africa’s first fully integrated textile manufacturing company, headquartered in Eldoret. Ken-Knit is today the largest employer in the North Rift region of Kenya, with over 2,000 employees, meaning the Sacco’s collapse has had a direct and lasting impact on the financial welfare of a significant number of workers. During its peak years, the cooperative served more than 1,000 members.
ALSO READ:
CAK chair Malonza elected chairperson International Cooperative Alliance Africa
County governments’ Sacco revival efforts are not new in Uasin Gishu. The county government previously announced plans to revive collapsed cooperative societies in the county, with a CEC member noting that most cooperatives collapsed due to mismanagement, corruption, and a lack of qualified staff to manage them.
Legal experts and cooperative sector advocates have, however, warned that accountability must accompany any revival efforts. Reviving a troubled cooperative without prosecuting those responsible for its downfall risks perpetuating a culture of impunity, and it must be made clear that accountability in Kenya’s financial sector is not negotiable.
Members are expected to continue engaging with county authorities as the revival process takes shape, with the question of pursuing those allegedly responsible for the lost Ksh 46 million remaining central to their demands for justice.
By Benedict Aoya
Get more stories from our website: Sacco Review.
For comments and clarifications, write to: Saccoreview@
Kindly follow us via our social media pages on Facebook: Sacco Review Newspaper for timely updates
Stay ahead of the pack! Grab the latest Sacco Review newspaper!
