DATE: 3RD JUNE, 2021




As you are aware, the SACCO recently carried out a Forensic Audit exercise to establish the whereabouts of Ksh 670 million which had been reported as unaccounted for in the SACCO books by the SACCO SOCIETIES REGULATORY AUTHORITY (SASRA) after conducting an onsite inspection as mandated by law in year 2016 and subsequent confirmation of the same by the Commissioner for Co-operatives Development after conducting an Inquiry into CHUNA SACCO business in the year 2017.

We wish to inform you that the said Forensic Audit exercise has been completed and the report subsequently adopted by the Delegates during the 3rd Annual Delegates Meeting held on 24th April, 2021 and resolutions passed to implement the recommendations of the report. Individuals mentioned as culpable will be contacted individually.


Following the rampart loss of funds in the SACCO in the previous years, the regulator directed the SACCO to be paying members any money be it loan, refund, dividends, etc. through FOSA accounts to ensure easy tracking of the same and seal loopholes for funds pilferage. As such, every member in the SACCO has a FOSA account. This has totally eliminated fraud, misappropriation, mis-recording and unaccounting of/for members funds.

a. FOSA Account for Non-members

A non-member can have a FOSA account purely for transacting since FOSA is a quasi-bank and indeed currently the SACCO has such people who use our FOSA accounts only for receiving their salaries and the SACCO settles their obligations with other financial institutions e.g., bank loan repayments, insurance premiums, etc., as they have instructed us.

a. Savings Accounts

The SACCO has the following savings accounts in FOSA as well with attractive interest rates with no service charge for both members and non-members;

i. Holiday Savings Account

ii. Education Savings Scheme Account

iii. Malkia Account

iv. Fixed Deposits

Click HERE to learn more.

a. Current accounts

The SACCO has the following current accounts with no service charge

i. Ordinary Account (for members)

ii. Salary Account (for non-members)

We encourage you to invite more people to patronize the SACCO as a member or as FOSA account holder.


The SACCO currently has excess funds which have been invested in other profitable streams of income as the current loan demand is not adequate to absorb the same. We encourage members with bank loans to consider transferring the same to the SACCO and those whom their payslips cannot accommodate more Credit to restructure their loans at the SACCO.


The SACCO business model has been mostly anchored on members being in formal employment. However, this model is nolonger sustainable in the financial industry with the advent of Fintechs and an economy where self-employment is increasingly becoming the preferred choice. Therefore, the SACCO has adopted the following strategies to ensure inclusivity whether in formal employment or not.

a. Collateral based lending

This is where the SACCO will not depend on your payslip as the sole consideration of your ability to repay a loan. But your asset(s) which you can pledge as Collateral shall be considered.

b. Asset Financing

This is where the SACCO partners with various asset manufacturers/distributors/seller to assist you get the asset you want e.g., a car, an equipment, etc.

c. Micro-Credit Lending

This is where the SACCO shall be lending to small and medium businesses at below the market rates.

d. Brokerage and Agency business

The SACCO will be partnering with service providers e.g., insurance companies, hospitals or specialist doctors, etc., for the SACCO members to access their services at below the market rates.

e. Special Investments Purpose Vehicle

The 2021 ADM resolved for the SACCO to form an investment wing which shall enable the SACCO to engage in other income streams currently the SACCO SOCIETIES ACT limits.

We therefore encourage you to recruit everyone whether employed or not.


The SACCO is improving on her adoption and use of technology on a daily basis. Currently, our members can access the following services online;

i. Loan Application and guarantorship,

ii. View statements, people guaranteed, people who have guaranteed you,

iii. Access funds via Cloudpesa,

iv. Remit their funds to the SACCO via Paybill No. 561999,

v. All our transactions documents are available at our website,

vi. Access funds through USSD code *850#

vii. From 15/06/2021 you shall be getting your ATM Card and PIN on the spot.

viii. We are launching a new website soon (in less than two weeks’ time)

We are also active on social media and you can interact with us on;

i. Facebook - chunasaccoltd

ii. Twitter handle @chunasaccoltd

Click the link to visit Twitter

Watch out for Instagram account and YouTube channel coming soon.


We wish to inform you that ceasing membership of a duly registered SAVINGS AND CREDIT CO-OPERATIVE SOCIETY (SACCO) is duly governed by Section 22 subsection 1 and 3 of the SACCO SOCIETIES ACT. Summary of these two relevant subsections of Section 22 are as follows;

Subsection 1: Non-withdrawable Deposits are refundable only when a member is;

(i) withdrawing from the SACCO membership,

(ii) has fully paid his/her debts to the SACCO including minimum Share Capital,

(iii) is free from any guarantorship,

Subsection 3: Non-withdrawable Deposits are refundable only when;

(i) Sixty days’ Notice to exit membership is served to the SACCO and

(ii) The Notice must be in writing.

We have endeavored to fully comply and where one has debts with the SACCO the same are recovered from the said non-withdrawable Deposits instead of requesting the outgoing member to bring cash. Such debts include loans, unpaid 10% Top-up fees and any other e.g., guaranteed loan balance in cases where one has been unable to substitute a guarantee (this is refundable once the loanee clears the guaranteed loan). Otherwise, if one has no debt the SACCO is obligated by law to refund all the amount contributed and only deduct membership exit fee.


A former member can rejoin the SACCO any time he/she wishes and shall not be required to pay new Share Capital, instead, the balance left behind will be transferred to the new membership number unless, the rejoining member had sold the previous shares.

Rejoining fee is only Ksh 500 which can be paid in cash or deducted from one’s salary.


In the year 2019 the President of Kenya, His Excellency Mr. Uhuru Kenyatta directed the Central Bank of Kenya and the Minister for Trade, Industry and Co-operatives to ensure SACCOs participate in the NPS. We can report that we are among the 28 SACCOs which were approached to be the first batch to be accommodated in the NPS through a new organization formed by the regulator and the Ministry called SACCO CENTRAL LIQUIDITY LTD.

We shall keep you updated on the ongoing process.


Despite the challenges bedeviling the economy, we can report the Co-operative sector has been resilient and CHUNA SACCO in particular is impr