ADJUMANI, February 27, 2024 – Business at the Adjumani Teachers’ Savings and Credit Cooperative Organisation [SACCO] in Adjumani district is almost at a standstill following the failure of the SACCO to recover about Shs 85. 63 million disbursed in smaller amounts as loans to members.
Speaking during a stakeholder meeting at the district headquarters over the weekend, Manson Akweru Eukerio who is Chairperson Board of Directors of the SACCO revealed that the SACCO which has 503 members, mostly teachers, cannot even meet its administrative costs.
“The bad loans have affected our administration and others. We have gone into a deficit, and as I talk right now, we have only one staff as the SACCO could not pay the salaries of all the staff. We decided to retain only the manager so that he tracks the loan defaulters,” he said.
“In the years 2013 to 2016, we made a profit but from 2017 our teachers refused to pay, that is why our accumulated arrears went up to over 85mln. To date, we have failed to recover the money from the teachers,” Akweru said.
According to Akwera, Adjumani Teachers’ SACCO Ltd. has a share capital of about Shs 5.8mln including the Shs 30mln donation from President Museveni in 2013, with savings of about Shs 6.4mln.
Meanwhile, Ben Anyama, the Adjumani district LCV Chairperson wondered whether the SACCO was running as a business or a charity organisation.
He called for the identification of the defaulters so that they can be made to pay back the money borrowed from the financially troubled SACCO.
He added: “If I am to pose a question, what did you do to the loan defaulters? Who are these teachers? Where is the profit from 2016 to date?” I want to say this SACCO was mismanaged.”
He added: “We must find solutions to this SACCO because this is government money. We have identified many mistakes in the SACCO. I wonder what was happening to the SACCO in 2022 and in 2023 because the summary of the report presented indicates that the SACCO stopped operations in 2021.”
On his part, Ofua Sub-county LCII Chairperson, Robert Dramwi called for the annual general meeting, saying it would help address some of the financial challenges the SACCO faces.
In the same vein, Clerk to Adjuman district council, Kizito Mawadri guided that a financial audit of the SACCO be carried by the district auditors, adding that a report should be presented after one month.
“I am very disappointed that this SACCO was mismanaged. Let the audit report come out and we get to know where the problem is,” said Jesca Ababiku, the Adjumani District Woman Member of Parliament.
https://thecooperator.news/adjumani-town-council-sacco-unveils-new-offices/
Buy your copy of thecooperator magazine from one of our country-wide vending points or an e-copy on emag.thecooperator.news
Views: 1
-
-
-
-
