Queensway Sacco Limited v Kigundu [2025] KECPT 221 (KLR)

Queensway Sacco Limited v Kigundu (Tribunal Case 553 of 2015) [2025] KECPT 221 (KLR) (27 February 2025) (Judgment)

Neutral citation: [2025] KECPT 221 (KLR)

Republic of Kenya

In the Cooperative Tribunal

Tribunal Case 553 of 2015

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

February 27, 2025

Between

Queensway Sacco Limited

Claimant

and

Michael Mbogo Kigundu

Respondent

Judgment

1. After analysing the evidence on Tribunal’s record regarding the claimant’s claim of Kshs 1,361,877. Which was said to be owed by the Respondent, the Judgment which was supposed to have been delivered on 27th June, 2024 was suspended pending the audit of the Respondent’s loan account. Due to clairing disparencies in the filed member statement account, the claimant was order to cause the audit of the account within 45 days from the instant date, mention to confirm compliance was scheduled on 22nd October, 2024.

2. During a mention held on 9th December, 2024, the claimant stated that they have audited the loan statement account of the Respondent and filed the report. Upon examination of the filed audited account statement. We find that it is the same account statement which was filed as annextures on 25th February, 2016 by the Claimant. It is a reproduction of one loan transactions of Account LNO. 00XX88 of Kshs 1,263,048. 93 from 3rd December, 2010 to 30th November, 2017.

3. On the face of this loan statement, the unpaid balance of the loas as at 30th November, 2017 was kshs 142,100. 57 while the share capital and the deposit on the Respondents account was used to off-set the outstanding old loan of 2010 leaving a balance of zero sum on the account.

4. Under paragraph 8 of the Replying Affidavit dated 24th February, 2016 sworn by Shadrack Munyalo, the Claimants state.“That after auditing of the defendants/applicant’s member old statement, it was discovered that there are some loans that had been granted to the defendant/applicant but were never indicated in the said statement”.The Claimants were ordered to audit the account from the time the Respondent joined the Sacco up to the time he exited. Instead, what has been filed by the claimant as audited account statement on 9th December, 2024 does not show the tabulations that are stated under paragraph 9,10 and 12 of the said replying affidavit.

5. The reasons that we can attribute to the lack of including the period before 2010 is because, the Respondent must have cleared the loan leaving a balance of Kshs 182,279/= which was paid with interest on 30th May, 2011. On this note, the Tribunal gave orders hoping that the audited member statement would clarify how the amount claimed is arrived.

6. Now that the audited member statement is not an audit per so but a print out of a record that we had previously examined, it is our view that the totals of the loan granted tot eh Respondent does not tally with the totals indicated int eh Claimant’s 26 photocopier of the loan application forms minus the interest, we expected a clarity on the discrepancy but now that the claimant decided to overlook, this tribunal cannot be called upon to come to the aid of a party who is reluctant to comply with simple directives of showing where the amount of Ksh. 1,361,887. 44 as claimed came from.

7. Given that the claimants have failed to clarify or proof how the amount claimed was arrived at, we hereby adopt the draft judgment dated 27th June, 2024 and this further Judgment and dismiss claim with costs.Claimant dismissed with costs.

JUDGMENT SIGNED, DATED AND DELIVERED VIRTUALLY AT NAIROBI THIS 27TH DAY OF FEBRUARY, 2025. HON. B. KIMEMIA CHAIRPERSON SIGNED 27. 2.2025HON. J. MWATSAMA DEPUTY CHAIRPERSON SIGNED 27. 2.2025HON. BEATRICE SAWE MEMBER SIGNED 27. 2.2025HON. FRIDAH LOTUIYA MEMBER SIGNED 27. 2.2025HON. PHILIP GICHUKI MEMBER SIGNED 27. 2.2025HON. MICHAEL CHESIKAW MEMBER SIGNED 27. 2.2025Tribunal Clerk JonahShikola advocate for the Claimant.No appearance for the RespondentHON. B. KIMEMIA CHAIRPERSON SIGNED 27. 2.2025