Among the key cases under review by Jack Mr Ranguma’s new team is that of a former manager with SASRA Mr Dominic Chungani Muteshi who was unfairly sacked after he exposed corruption, nepotism and looting of funds in the organization. Mr Muteshi has the last laugh now after he was awarded over Ksh. 72m by the Employment and Labour Relations Court in Nairobi
By The Weekly Vision
Pressure is mounting on the CS for Co-operatives and Micro, Small and Medium Enterprises (MSMEs) Simon Chelugui to crack the whip on the management of the Sacco Societies Regulatory Authority SASRA over their failure to properly regulate the SACCO movement in the country. SASRA’s current mode of regulating the SACCOs has led to the looting of members’ funds.
Investigations conducted by The Weekly Vision indicate that the newly appointed Chairman at SASRA Jack Ranguma has promised to carry out radical surgery at the organization, and heads are set to roll. Mr Runguma is said to have ordered a thorough audit of the organization covering the last five years and those found culpable over loss of funds, corruption and any malpractices will face the full force of the law.
He is said to be targeting the management team led by the CEO Paul Njuguna who is said to have colluded with the previous management and board of directors to benefit themselves. Mr Ranguma is also aware of the failure of the previous management at SASRA to protect Sacco where members have lost billions of shillings to looting by officials. Sources say SASRA has also spent millions of shillings on litigation in hiring lawyers to defend the management against accusations of unfair termination of employment by members of staff.
Among the key cases under review by Mr Ranguma’s new team is that of a former manager with SASRA Mr Dominic Chungani Muteshi who was unfairly sacked after he exposed corruption, nepotism and looting of funds in the organization. Mr Muteshi has the last laugh now after he was awarded over Ksh. 72m by the Employment and Labour Relations Court in Nairobi. Mr Muteshi was employed by SASRA on July 1st, 2010 as Chief Manager–Human Resources and Administration earning a gross salary of Ksh. 504, 267 per month. He was later accused by the then CEO Carilus Ademba and his team of managers of inciting a section of the members of staff and threatening one senior officer. Mr Ademba was the CEO at Kenya Union of Savings & Credit Cooperatives KUSCCO before moving to SASRA in the same capacity.
Mr Muteshi was later accused by Mr Ademba of having written an anonymous letter to the National Treasury raising several matters related to corruption at SASRA where the then Mr Ademba was accused of influencing procurements and awarding tenders to his friends. There were also claims of tribalism in the hiring and promotion of staff presided over by the CEO himself, and that he was always on numerous and expensive foreign trips together with his cronies.
The ruling by Judge M. Mbaru reads in part “On the finding that employment terminated fairly, this being a case of termination of employment unlike summary dismissal; he is entitled to one months’ notice pay at the last gross salary all at Ksh. 504, 267” On the outstanding pension remittances, the claimant is entitled to his pension remittances for the entire period of employment together with leave days and salaries unpaid for the entire duration of employment. The ruling reads in part “The claimant shall be paid the following; Pension Ksh. 71,925, unpaid salaries Ksh. 1,008,534, outstanding leave days Ksh. 504,267 and notice pay Ksh 504,267
Mr Muteshi was later issued with a notice to show cause why disciplinary action should not be taken against him. He had been accused of irregularly hiring staff but interestingly the persons he was accused of hiring were issued an appointment letter/s by the CEO as the appointing authority. Other appointments were done at the board level. He was only acting on strict instructions from the CEO.
Mr Muteshi further revealed that he was not responsible for the hiring of 23 employees as such functions are vested in the CEO or the board. That he did not promote any officer as such mandate was with the board. That he did not terminate the employment of any employee since he did not sign such letters. During a disciplinary meeting, Mr Muteshi bravely told the committee the CEO was practising tribalism and favouritism in recruitment and promotion and that he had no role in hiring staff, his contract was terminated soon after. It later came out that Mr Muteshi was victimised for addressing tribalism and favouritism by the CEO and that regulations and procedures and Muteshi’s termination of employment were unfair and that SASRA failed to pay his allowances, 53 leave days or his terminal dues.
The ruling by Judge M. Mbaru reads in part “On the finding that employment terminated fairly, this being a case of termination of employment unlike summary dismissal; he is entitled to one months’ notice pay at the last gross salary all at Ksh. 504, 267” On the outstanding pension remittances, the claimant is entitled to his pension remittances for the entire period of employment together with leave days and salaries unpaid for the entire duration of employment. The ruling reads in part “The claimant shall be paid the following; Pension Ksh. 71,925, unpaid salaries Ksh. 1,008,534, outstanding leave days Ksh. 504,267 and notice pay Ksh 504,267.
