RUMOURS WORRYING TUTORS

Knut to supervise teachers' saccos to safeguard savings

Sossion says they have to keep track of their money after rumours biggest Sacco is going down

In Summary

• Knut secretary general says those tasked with safeguarding Saccos, schemes and investments belonging to teachers should be transparent. 

• Metropolitan Sacco official assures members they have taken necessary recovery steps admitting financial difficulties caused by non-performing loans. 

Kenya National Union of Teachers secretary general Wilson Sossion in Kiambu town during Knut Kiambu East branch AGM
SUPPORT: Kenya National Union of Teachers secretary general Wilson Sossion in Kiambu town during Knut Kiambu East branch AGM
Image: Stanley Njenga

Knut secretary general Wilson Sossion has directed all executive secretaries to supervise teachers saccos, schemes and investments.

Speaking in Kiambu town during the annual general meeting of the Kenya National Union of Teachers Kiambu East branch, he said teachers' money must be safeguarded at all costs. He urged teachers to support saccos because they have a huge impact on their economic stability.

The secretary general told the teachers to be loyal to the saccos.

"Those who are idle want to bring saccos down."

Sossion was reacting to the current state of Metropolitan National Sacco, formerly Kiambu Teachers' Sacco, which is the largest teachers' sacco. It is alleged to be on the verge of collapse after it recorded losses due to unpaid loans and teachers withdrawing their deposits.

Nairobi Knut executive secretary Macharia Mugwe, who had attended the AGM threw a jibe at the Metropolitan Sacco leadership, saying teachers were worried about their savings since "loans were being given in bits and not full amount applied for."

Sossion said it is the mandate of Knut to supervise saccos to ensure they deliver. 

"The investments, schemes and saccos have opened doors to non-teachers, and they should not tell us they have become independent. That is our money. We want to know what is happening in our saccos," he said.

He praised Metropolitan Sacco for being "the best teachers' sacco in the country' and for helping teachers access their money in any bank across the country.

Metropolitan Sacco supervisory committee chairman Joseph Gachunga assured members that they have taken the necessary recovery steps, admitting financial difficulties caused by non-performing loans amounted to Sh1.2 billion.

 

"Members can agree with me that we are not where we were last year but by the end of this year, we will be back on track. We engaged independent debt collectors to recover the non-performing loans, and we collect Sh30 million every month. We have increased in random deposits, " Gachunga said. 

Metropolitan Sacco will not die, he said. 

Vice chairperson Lucy Kabiru said social media and rumours being spread by union members that the sacco is sinking contributed to the withdrawal of some members. 

Edited by R.Wamochie