Teachers to receive their shares as Sacco is liquidated
Teachers will receive their shares back as the defunct SACCO is liquidated.
Teachers sacco which was founded in nineteen seventy five has been undergoing through financial strains for several years and now the chief administrators have applied for self liquidation.
Most of the teachers who work for the Teachers Service Commission are members of different Saccos that help them build savings that they can use to borrow money.
However, several Saccos have found themselves failing with the funds of teachers due to management problems.
Teachers to receive their shares as Sacco is liquidated
Others, though, take the appropriate precautions to protect teachers’ meager resources when times are rough.This was the situation with the Kisumu Teachers Sacco, which began in 1975 and has been assisting the Kisumu Branch of the KNUT.
The sacco, which entered self-liquidation six years ago after failing to repay cooperative bank loans, is now requesting applications from members for the refund of their shares.
According to David Obuon, the chief executive officer of the Sacco, the debts outstanding to the cooperative bank total more over Ksh 45 million.
Teachers’ salaries were subject to check-off deductions in an effort to recover all debts owing to the bank, which resulted in some teachers receiving as little as two thousand shillings after deduction.
The change occurs at a time when another sizable Sacco mwalimu national company had to abandon an earlier investment after suffering significant losses.
Teachers to receive their shares as Sacco is liquidated
The sacco was forced to decide whether to sell spire bank, which had descended into financial ruin ever since it was founded.
The sacco had to make a decision to sell spire bank which had become a financial sinkhole ever since it was acquired in 2015 from late business Mogul Naushad merali.
