Saccos Thefts is playing with fire- Could be an economic waterloo

[gout]

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These are deadly sparks that can raze the fragile economy.

This KUSCO daring theft and such  has the potential to kill the Sacco movement

The State has directed 247 savings and credit cooperative societies (saccos) to cut dividends and write off or set aside funds to cover for expected losses linked to the multi-billion shilling fraud at Kenya Union of Savings & Credit Co-operatives (Kuscco).

The directive is expected to guide the saccos in the coming weeks as they host annual general meetings, which approve dividends, provisions and write-offs.

The State Department for Cooperatives reckons that provisions for doubtful investments will provide the true picture of the saccos’ financial position and protect their liquidity.

It also asked members to limit dividend payouts and set aside funds to cover for possible loss of their deposits and shares at Kuscco worth billions of shillings.

A forensic audit by consultancy firm PricewaterhouseCoopers (PwC) revealed malpractices at Kuscco, including the cooking of books, large-scale theft by executives, bribery, unexplained bank withdrawals and conflict of interest through issuance of contracts to firms owned by top managers and masking the schemes through manipulation of financial statements to report non-existent profits.

At the end, Sh13.3 billion has been lost, the umbrella body of Saccos is insolvent to the tune of Sh12.5 billion and Sh24.8 billion it received from the 247 saccos as deposits are at risk.

https://www.businessdailyafrica.com/bd/markets/sacco-savers-face-dividend-cuts-on-kuscco-fraud-losses-4943602

[gout]

The audacious thefts are scary and nobody has been punished since the Harambee 4 mbirionis heist.

https://nation.africa/kenya/news/politics/treasury-shocker-sh1-3trn-cash-withdrawn-in-seven-months-4947734#story

[patel]

Kenya is a mafia paradise. Apparently there are all these bodies that are supposed to monitor and police these Saccos but none does it job. Mostly compromised. In the end you are all on your own. Put your money under mattress or at best when it comes to saccos always owe more than you have deposited.

[patel]

The audacious thefts are scary and nobody has been punished since the Harambee 4 mbirionis heist.

https://nation.africa/kenya/news/politics/treasury-shocker-sh1-3trn-cash-withdrawn-in-seven-months-4947734#story

looks like the economic collapse is near.  The end is near.
How stable are Kenya banks? I have heard cases where people have been unable to withdraw their money.

[RV Heavy Hitter!]

Kenyan local banks are not safe, especially Equity Bank. Equity employees can remove your money at any time as they wish. Even the scams you see in Safaricom are employee-driven. The problem is the society, not necessarily the leadership. If you have rotten people, it doesn't matter where you put them. Watchmen collude to steal; House helps, bank employees, and government employees, etc.

If you put money in a mattress, now that is when one day those near you will take you for cleaners, especially family or close friends. Most of my dough stays in volatile US stocks, but I move them every day, if not attracting more money!

[gout]

[Kadudu]

How can talk of billions been stolen and not one person has been arrested? Kenya is a gangster's paradise.

[RV Heavy Hitter!]

If you are abroad, you can help your siblings by investing money outside Kenya. The S&P 500 has been doing consistent year returns for decades. It is flatlining now under Trump, but still safer than putting money in Kenyan banks or Saccos. You have them today, and one day you will watch news like this. Stable financial markets is key to financial security!

[gout]

Saccos have been working from independence paying dividends religiously in March since independence and are adapted by progressive mwafrika up to Bangladesh award winning Grameen Bank.

The thefts were between 2016-2022. Very telling.

[RV Pundit]

ARA should seize all the assets of all involved