Ernest Adenyo Ajiki v Taraji Sacco Society Limited [2021] KECPT 590 (KLR) | Share Refund Dispute | Esheria

Ernest Adenyo Ajiki v Taraji Sacco Society Limited [2021] KECPT 590 (KLR)

Full Case Text

REPUBLIC OF KENYA

IN THE CO-OPERATIVE TRIBUNAL AT NAIROBI

TRIBUNAL CASE NO. 443 OF 2019

ERNEST  ADENYO AJIKI.....................................................CLAIMANT

VERSUS

TARAJI   SACCO  SOCIETY LIMITED.........................RESPONDENT

JUDGMENT

Vide  the Statement dated 19. 2.19 filed on  15. 8.2019, the Claimant  has moved  this Tribunal  seeking  for Judgment  to be entered  against  the Respondent as follows:

a. Kshs.415,850/= being  unpaid  share  contribution  together  with  interest  at court rates;

b. Costs.

The reliefs  are based  on the fact that  despite  having  issued a formal  Notice of  withdrawal the Respondent  has refused  and/or declined  to process  and refund  his deposits.

When  he appeared  to testify  in court  on 7. 10. 2021, he stated  that he  withdrew  from the  Respondent  on 30. 6.2017. That  the Respondent  admitted  to  owing  Kshs.415,850/=. That  the Respondent  did  not give any  explanation  on deductions. That  he paid Kshs.5000/= for the plaza.

Upon  cross examination,  the Claimant  admitted  that he received  a refund  of Kshs.67,000/= from the  Respondent. That  they were  not informed  about  the  risk fund.

Respondent’s  Case

The Respondent  has opposed  the  claim  vide  the  undated  statement  of defence  filed  on  15. 8.2019.  The gist  of the Respondent’s  opposition  to the  claim is that  the  Claimant  is only entitled  to Kshs.330,600/= after being  refunded  a total  of  Kshs.47,000/=. That  the total deposits at  the time of  resignation  was Kshs.377,600/=.

That  the Respondent  was badly  mismanaged  and thus  unable to  refund  the deposits  in fail.

When  he appeared  to testify  in court on  7. 10. 2020,  he stated  that the following  monies  were not  refundable.

a. Share  capital Kshs. 4000/=

b. Risk fund Kshs.29,250/=

c. Plaza – Kshs.5000/=

Issues  for determination

We have  framed   the following  issues  for determination

a. Whether  the Respondent  owes  the  Claimant  money  and it so to what  extent;

b. Who should  meet the  costs  of  the claim?

Refund

It is the Claimant’s  case that he is entitled to a refund of  Kshs.451,850/=  being the cumulative  share refund. That  to date, he has received a total refund of Kshs.67,000/=. On its part, the  Respondent  contend  that the Claimant’s  cumulative  outstanding  deposit  is Kshs.330,600/=.

We have perused  the claimant’s  “share  statement  of Account “ dated 30. 6.2016. It shows  that the  total  outstanding  deposits  as at  28. 6.2016  was Kshs.377,600/=.

We have  also perused  his statement  of account  date4d 1. 8.2019, it shows that  his outstanding  deposits  as at  2. 1.19was Kshs.330,600/=.

We note that  the statement  dated  1. 8.2019 is the most  recent  one and thus  present  the  most  recent  status  of the share account  as opposed  to the one produced  by the plaintiff  dated  30. 6.2016.

It thus  follows  that the  Claimants  cumulative  outstanding  deposits  is Kshs.330,600/=.

We agree with  the Respondent  that  a sum  of Kshs.4000/=  being  share capital  is not  refundable. Equally, a sum  of Kshs.5000/= being  contributions  relating  to the plaza  is not  also  refundable.

As regards,  the  claim  for risk  fund,  we do not  agree with  the Respondent  that the same is  not refundable. These  were monies  meant to come  into  the aid of the Claimants  family  in the event of death.  He is still alive and  has  ceased  being  its member.  The Respondent  therefore  does not  have any business  with the said  money.  It should  refund  the same  to the Claimant.

Final orders

The upshot  of the foregoing  is that we find that  the  Claimant  has established  his  case in a balance  of probability. We  accordingly  enter  judgment  against  the Respondent  as follows:-

a. Kshs. 330,000/= being  outstanding  deposits.

b. Kshs. 29,250/=  being  deductions  towards  risk fund.

Total  359,850/=

Respondent  to  meet  costs  and interest  at court rates.

JUDGMENT SIGNED, DATED AND DELIVERED VIRTUALLY THIS 4TH  DAY OF  MARCH,  2021.

HON. B. KIMEMIA  CHAIRPERSON    SIGNED  4. 3.2021

HON. J. MWATSAMA DEPUTY CHAIRPERSON  SIGNED  4. 3.2021

B. AKUSALA   MEMBER    SIGNED  4. 3.2021

No appearance for parties

HON. B. KIMEMIA  CHAIRPERSON    SIGNED  4. 3.2021