Kuria v Metropolitan National Sacco Society Ltd [2023] KECPT 818 (KLR)

Kuria v Metropolitan National Sacco Society Ltd (Tribunal Case 45/E047 of 2022) [2023] KECPT 818 (KLR) (31 August 2023) (Judgment)

Neutral citation: [2023] KECPT 818 (KLR)

Republic of Kenya

In the Cooperative Tribunal

Tribunal Case 45/E047 of 2022

BM Kimemia, Chair, J. Mwatsama, Vice Chair, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw & PO Aol, Members

August 31, 2023

Between

Lucy Wanjiru Kuria

Claimant

and

Metropolitan National Sacco Society Ltd

Respondent

Judgment

1. The claim for determination dated 03/02/2022 filed on 15/02/2022. The Claimant avers that on 09/07/2020 she withdrew her membership from the Respondent and sought for a refund of her contribution of Kshs. 432,310/=. She filed her Witness Statement dated 03/02/2020 and filed on 15/02/2020 and a Withdrawal Letter dated 09/07/2020

2. The Respondent filed a statement of defense dated 21/03/2022 on 22/03/2022. The Respondent denies the claim by the Claimant. The Respondent avers that they did not receive any Withdrawal Notice from the Claimant. However, the Respondent avers that the Claimant’s refund was scheduled for payment on 19/07/2022 as per Annual General Meeting Resolutions of 2019, which according to the Respondent are binding to the Claimant.

3. The Respondent filed a witness statement by David Muhoro dated 21/03/2022 on 21/03/2022. The Respondent also filed a list of documents dated 21/03/2022 on 22/03/2022, which included;a.Claimant’s member statement.b.SACCO by-lawsc.2019 Annual General Meeting Resolutions.

4. The Claimant filed her submission dated 19/01/2023 on 19/01/2023 The Respondent did not file any submissions.Having considered the pleadings and written submissions by both parties the issue for determination is one:

Issues for determination. Whether the Claimant is entitled to their refund. 5. It is not disputed by the Respondent that the Claimant was their member and held savings and contributions amounting to Kshs 432,310/=. The only reason the Respondent are not refunding the Claimant is because of the Annual General Meeting Resolutions of 2019 requiring the refund to be scheduled. The Claimant’s refund was consequently scheduled for 19th July 2022.

6. TheCooperative Society Act read together with the Cooperative Societies Rules of 2004 requires that members are entitled to refunds upon expulsion or withdrawal of membership.

7. The Respondent produced the Claimant’s Statement of Accounts clearly indicated that the Claimant has no liabilities preventing payments of the refunds. The liquidity issues and challenges are not reason enough to deny the Claimant her refund.

Determination. 8. The Claimant has proved their case and we thus find in favor of the Claimant against the Respondent for Kshs 432,310/= plus costs and interest.

JUDGMENT SIGNED, DATED AND DELIVERED VIRTUALLY AT NAIROBI THIS 31ST DAY OF AUGUST, 2023. HON. BEATRICE KIMEMIA CHAIRPERSON SIGNED 31. 8.2023HON. J. MWATSAMA DEPUTY CHAIRPERSON SIGNED 31. 8.2023HON. BEATRICE SAWE MEMBER SIGNED 31. 8.2023HON. FRIDAH LOTUIYA MEMBER SIGNED 31. 8.2023HON. PHILIP GICHUKI MEMBER SIGNED 31. 8.2023HON. MICHAEL CHESIKAW MEMBER SIGNED 31. 8.2023HON. PAUL AOL MEMBER SIGNED 31. 8.2023TRIBUNAL CLERK JEMIMAHHON. J. MWATSAMA DEPUTY CHAIRPERSON SIGNED 31. 8.2023