[2025] KECPT 368 (KLR)

[2025] KECPT 368 (KLR)

The Tribunal found that the Claimant had established his entitlement to a refund of Kshs. 282,240.55 by producing an uncontested statement of account from the Respondent. The Respondent's defense, based on a temporary suspension of refunds by AGM resolution, was not sufficient to defeat the claim, as the suspension...

Source-derived case information.

Citation
[2025] KECPT 368 (KLR)
Parties
Applicant: Abdallah Mukwana Ali; Respondent: Metropolitan National Sacco Society Ltd
Court
Cooperative Tribunal
Jurisdiction
Kenya
Case Number
Tribunal Case 304/ E 438 of 2023
Procedural Posture
Miscellaneous Application / Judgment
Outcome
judgment for the applicant
Judges
Janet Mwatsama, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw, PO Aol
Legal Topics
Refund of Deposits, Membership Withdrawal, Cooperative Societies, Liquidity Challenges
Source Language
en
Civil Procedure Banking and Finance Refund of Deposits Membership Withdrawal Cooperative Societies Liquidity Challenges

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Parties

Abdallah Mukwana Ali

Applicant

Metropolitan National Sacco Society Ltd

Respondent

Procedural Posture

Miscellaneous Application / Judgment

  1. 1 Whether the Claimant is entitled to a refund of Kshs. 282,240.55 upon withdrawal of membership from the Respondent Sacco.
  2. 2 Whether the Respondent's AGM resolution suspending refunds for two years is a valid defense against the Claimant's claim.

Ratio Decidendi

The Tribunal found that the Claimant had established his entitlement to a refund of Kshs. 282,240.55 by producing an uncontested statement of account from the Respondent. The Respondent's defense, based on a temporary suspension of refunds by AGM resolution, was not sufficient to defeat the claim, as the suspension period had lapsed and no other legal or factual impediment was demonstrated. The Tribunal held that the Claimant had no outstanding liabilities and the Respondent failed to provide evidence justifying continued withholding of the funds. Accordingly, judgment was entered in favor of the Claimant for the full amount claimed, plus costs and interest.

Court Disposition

judgment for the applicant

Orders

  • The Respondent shall pay the Claimant Kshs. 282,240.55 as refund of deposits.
  • The Respondent shall pay interest on the above sum at court rates from the date of filing suit until payment in full.