The Cabinet Secretary for Micro, Small, and Medium Enterprises (MSMEs), Wycliffe Oparanya, has appointed a new Board of Directors to lead the Kenya Union of Savings and Credit Cooperatives (KUSCCO), marking the end of the one-year term of the interim board.
This new leadership is expected to steer the organization through a critical restructuring phase and prepare it for its transition into a national federation.
The newly appointed board will serve a two-year term and is expected to strengthen governance, improve service delivery, and recover lost assets.
According to Oparanya, the appointments aim to restore stability and accountability within KUSCCO and to bolster the Sacco movement across Kenya, especially in the wake of the financial scandal that rocked the institution.
The new board includes a mix of seasoned cooperative leaders from across the country:
- – David Mategwa – Chairperson (Kenya National Police DT Sacco)
- – Jennifer Mburu – Vice Chairperson (Mhasibu Sacco)
- – Robert Njue – WINAS Sacco
- – Osmane Khatolwa – Stima DT Sacco
- – John Ziro – Imarika DT Sacco
- – Philip Rirei – Noble Sacco
- – Michael Muriithi – Unaitas Sacco
- – Priscilla Maranga – Office of the Commissioner
- – Brenda Obondo – KMA Sacco
- – Mary Kweyu – Invest and Grow Sacco
- – Charles Kioko – GDC Sacco
Their appointment comes at a time when KUSCCO is still reeling from a massive financial scandal involving the loss of KSh 13.3 billion.
A forensic audit conducted by PwC, under the Ministry of Cooperatives and MSME Development, exposed widespread financial mismanagement under the previous administration.
The audit report revealed fraudulent bookkeeping, unauthorized withdrawals, bribery, and conflicts of interest where contracts were awarded to companies owned by top executives.
These activities were covered up through manipulated financial records, creating a false impression of profitability.
The audit concluded that KUSCCO had become insolvent by KSh 12.5 billion, putting at risk Sh24.8 billion in deposits collected from 247 member SACCOs.
This scandal prompted the government to dissolve the former board and institute urgent recovery measures.
Oparanya acknowledged the progress made by the outgoing interim board, praising their efforts in stabilizing the institution.
During their tenure, the interim team developed and implemented a recovery strategy, reconstructed the financial records, completed key audits, and amended the union’s by-laws in line with recommendations from the forensic report.
“I commend the previous Interim Board of Directors for their sterling performance,” said Oparanya.
“Their efforts laid the groundwork for KUSCCO’s revival, and the new board will now take the lead in pushing these reforms even further.”
He reaffirmed the government’s commitment to supporting cooperative reforms that enhance the sustainability and resilience of SACCOs across the country.
