Cooperatives and MSMEs Cabinet Secretary Wycliffe Oparanya has fired the entire management team of Kangunu Cooperative Society in Murang’a County citing gross misconduct.
Oparanya highlighted that his decision has been informed by poor management, unjust expulsion, harassment, and illegal deduction of members’ payments that have been taking place in the society for the last seven years.
While addressing coffee farmers allied to the society, the CS noted that the firing of managers of the cooperative society will take place with immediate effect, and warned them against returning to their offices.
“Starting today, the management committee of Kangunu Cooperative Society should step aside and keep off from any business relating to the cooperative,” he announced.
Opranya also instructed the commissioner for cooperatives to begin an urgent investigation into the misconducts that have been going on in the factory ordering him to organize and conduct a fresh election within 14 days which will usher in a new leadership team.
“I direct the commissioner of co-operatives to start investigations on what has been happening in this society. He should also organize and conduct an election in the next 14 days,” said Oparanya, further urging the farmers to show up and have their voices heard.
Kanguno society in the recent past has been rocked by protests staged by farmers citing poor management of their coffee factory.
Last week, a proposed Annual General Meeting turned chaotic after farmers found the factory occupied by police officers and unknown people were disguised as farmers.
To enhance a smooth flow of operations during this transition period, Oparanya ordered Stephen Wambugu, head of co-operatives, with the assistance of the county’s security team, to care-take the business of the society until a new management is elected.
In addition to the leadership changes, Oparanya also took a hard stance and put a stop on the illegal deductions of 5pc from the farmers’ earnings, labeling it as financial thievery.
He said the deductions which have been taking in the society have been inconveniencing the coffee farmers for the longest time as funds from these mandatory contributions could not be accounted for.
The farmers who had also been expelled from the cooperative were also reinstated, and urged to start harvesting and selling coffee to the factory with immediate effect.
“The expelled farmers should now become members of this society with immediate effect. They should harvest and sell their coffees without any harassment. Also, the deduction of 5pc from the earnings of the farmers has been stopped starting today,” he declared.
Fresh investigations of the mismanagement of resources in the cooperative society was called for by the CS, with EACC and DCI being asked to arrest anyone found responsible for financial misappropriation.
“I call upon the investigating bodies and the DCI to arrest any individual who will be a suspect of the misappropriation of the coffee farmers’ resources,” he added.
Oparanya noted that the misfortunes Kangunu coffee farmers have been through is a national problem, and revealed that there is a bill in place which will enhance administration and hold accountable management committees of coffee cooperatives.
The Cooperative Bill, Oparanya disclosed, will put in place measures regulating the stay of these management committees, to help reduce election misconduct and one management committee leading for a long time.
“There is a bill, which if passed will be of benefit to coffee farmers by reducing massive financial losses witnessed by farmers affiliated to different cooperative societies in the country. Strict guidelines on the period of stay of a management are enshrined in this bill,” he averred.
Oparanya also revealed that he will have a meeting with all leaders in the coffee sector to discuss issues affecting coffee farmers in the country and explore possible solutions that favor their needs.
