Kwetu Sacco Under Fire as TSC Probes Irregular Salary Payments

By The Weekly Vision Team

Instances of salary over payment have become increasingly prevalent at the Teachers Service Commission (TSC), as highlighted in the latest Auditor General’s report. Nancy Macharia, the Chief Executive of TSC recently exposed how certain Savings and Credit Cooperative Organizations (Saccos) have been exploiting the Commission; one notable example is Kwetu Sacco, led by CEO Stanley Kyelenzi. 

The Auditor General’s report details ongoing investigations into Kwetu Sacco regarding the misappropriation of Ksh 151,741. This amount was erroneously transferred to Kwetu Sacco’s Fosa Kwetu account in connection with Beatrice Obonyo Nyambane. Despite repeated efforts, Kwetu Sacco has neither refunded the misdirected funds nor recorded the transaction in its financial records. This omission raises concerns that someone within Sacco’s accounts department might have deliberately withheld or misappropriated the funds. 

TSC’s efforts to recover Ksh 151,741 have so far been unsuccessful. In response to these issues, TSC is planning a forensic audit of Kwetu Sacco to investigate whether deceased members have continued to receive salaries due to systemic failures at TSC and to identify any discrepancies related to retired, resigned, suspended, or interdicted members. 

Furthermore, Kwetu Sacco’s CEO has been criticized for failing to inform TSC about these issues. There is growing suspicion that collusion between payroll and accounts departments might be allowing payments to deceased members to be diverted and pocketed by individuals within the Sacco.