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Three months after the government demanded investigations into the Kenya Union of Savings and Credit Cooperatives Society (KUSCCO) Limited for alleged engagement in illegal deposit-taking business, the board has reorganized its top management.

David Langat was chosen as the new chairman by the board of directors last month after the exit of the long-serving Chairman George Magutu.

Last week, Managing Director George Ototo (pictured) also stepped down paving way for the appointment of Arnold Munene as acting managing director with effect from January 15.

Contacted, Ototo confirmed his departure last week on January 11, 2024 and handed over the office on January 15, 2024. He handed over the office last Monday while the new chairman took over office on December 22, 2023.
Langat from Imarisha Sacco in Rift Valley was appointed new chairman of the KUSCCO board while David Moyia from Invest and Grow Sacco in Western region was chosen as the institution’s vice-chairman.\

“This is to inform you of important changes in leadership at KUSCCO Limited. We announce the departure of national chairman George Magutu and Group managing director George Ototo. We would like to express our sincere gratitude for their dedicated service and contributions to the growth and success of the Union during their tenure,” said Langat in a statement released yesterday.

He added: “Further, the board of directors appointed Arnold Munene into the role of acting Group managing director with effect from January 15, 2024.” Langat said Munene brings a wealth of experience and proven track record in cooperative management and we are confident that he will lead KUSCCO to new heights.

Until their appointment Langat was the board vice chairman while Munene was KUSCCO’s Regional Manager in charge of Nairobi.

The union’s umbrella body has been in operation for at least 50 years and advocates for an enabling legislative and policy environment for the growth of Saccos.

The departure of Magutu and Ototo from the organisation comes three months after Co-operative and Micro, Small and Medium Enterprises (MSME) Cabinet Secretary Simon Chelugui in a ministerial directive ordered Sacco Societies Authority (SASRA) to inspect KUSCCO and its books, accounts and records in accordance with provisions of current legislations governing the societies.

Chelugui said the directive to investigate the umbrella body of Saccos in Kenya followed available information to the ministry from other quarters and submissions shared by SASRA. – Nicholas Waitathu