New KUSCCO liquidator appointed despite court stay
The appointment replaces three officials from the State Department for Co-operatives who had earlier been appointed to oversee the liquidation. They are Deputy Commissioner for Co-operative Development Peter Wanjohi Kiama, Principal Co-operative Officer Habil Olembo Jesse and Deputy Chief State Counsel Mariam Adam Abubakar.
NAIROBI, Kenya – The Commissioner for Co-operative Development, David Obonyo, has named Waithaka Ngaruiya of Waithaka and Associates as the new liquidator for the Kenya Union of Savings and Credit Co-operatives (KUSCCO) Limited. This appointment was made in a September 23 special Gazette notice, despite a court order temporarily halting the liquidation proceedings.
Ngaruiya's mandate extends for up to one year, granting him the authority to assume control of KUSCCO's assets, records, and property necessary for the liquidation process.
The decision supersedes a previous appointment of three State Department for Co-operatives officials: Deputy Commissioner Peter Wanjohi Kiama, Principal Co-operative Officer Habil Olembo Jesse, and Deputy Chief State Counsel Mariam Adam Abubakar. These individuals were overseeing the liquidation prior to Ngaruiya's appointment.
KUSCCO shareholders opted to dissolve the cooperative on August 28, following an audit that revealed liabilities of approximately Sh17 billion against assets valued at around Sh5.4 billion. On August 31, Obonyo revoked KUSCCO's registration and initiated its liquidation process. Subsequently, the High Court issued orders on September 8, temporarily restraining the three State-appointed liquidators from gaining control over KUSCCO's assets.
The court's intervention stemmed from a legal challenge filed by RUPSA Regulated NWDT SACCO Society Limited, which contended that the liquidators' powers contravened existing court orders designed to safeguard KUSCCO's assets.
Written by urgent.news from Capital Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
