[2025] KECPT 315 (KLR)
The Tribunal found that the claimant was a member of the respondent Sacco, had cleared all her loans, and had provided sufficient documentary evidence of her deposits and withdrawal request. The respondent did not dispute her membership or provide evidence of outstanding liabilities. The Tribunal held that the...
Source-derived case information.
- Citation
- [2025] KECPT 315 (KLR)
- Parties
- Applicant: Jane Karuma; Respondent: Metropolitan National Sacco Limited
- Court
- Cooperative Tribunal
- Jurisdiction
- Kenya
- Case Number
- Tribunal Case E502 of 2024
- Procedural Posture
- Refund Claim / Judgment
- Outcome
- judgment for the claimant
- Judges
- Janet Mwatsama, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw, PO Aol
- Legal Topics
- Sacco Member Refunds, Deposit Recovery, By Laws Interpretation
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Jane Karuma
Applicant
Metropolitan National Sacco Limited
Respondent
Procedural Posture
Refund Claim / Judgment
Legal Issues
- 1 Whether the claimant was a member of the respondent Sacco at the material time.
- 2 Whether the claimant is entitled to a refund of her deposits and shares from the respondent Sacco.
- 3 Whether the respondent's AGM resolution to suspend refunds is a valid defence against the claimant's claim.
Ratio Decidendi
The Tribunal found that the claimant was a member of the respondent Sacco, had cleared all her loans, and had provided sufficient documentary evidence of her deposits and withdrawal request. The respondent did not dispute her membership or provide evidence of outstanding liabilities. The Tribunal held that the respondent's reliance on an AGM resolution to suspend refunds was unsupported by evidence and did not override the claimant's statutory right to a refund. Financial difficulties or internal resolutions could not lawfully justify withholding the claimant's deposits. Accordingly, the Tribunal entered judgment for the claimant for the sum of Kshs. 244,717.29, plus costs and interest...
Court Disposition
judgment for the claimant
Orders
- The respondent shall pay the claimant Kshs. 244,717.29 as refund of deposits and shares.
- The respondent shall pay interest on the above sum from the date of filing suit until payment in full.
Full Case Text
Judgment text and source record
22 paragraphs
Karuma v Metropolitan National Sacco Limited (Tribunal Case E502 of 2024) [2025] KECPT 315 (KLR) (12 June 2025) (Judgment)
Neutral citation: [2025] KECPT 315 (KLR)
Republic of Kenya
In the Cooperative Tribunal
Tribunal Case E502 of 2024
Janet Mwatsama, Vice Chair, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw & PO Aol, Members
June 12, 2025
Between
Jane Karuma
Claimant
and
Metropolitan National Sacco Limited
Respondent
Judgment
1. Matter for determination is Statement of Claim dated 14. 6.2024. the Claimant avers she was a member of Respondent by virtue of membership number 25849 and had deposits Kshs.230,717/= as the time of her withdrawal in continue deductions of Claimant’s salary to June 2024 claimant states she had cleared all her loans and did not have any obligations.
2. The Respondent’s By-laws state withdrawal should give 60 days’ notice. Respondent have yet to refund despite the 60 day’s having lapsed.Claimants prayers are for:a.The sum of Kenya Shillings two hundred and forty eight thousand, seven hundred and seventeen (kshs.248,717/= being shares and deposits as at June, 2024. b.Interest on (a) above at commercial rates from September, 2023 until payment in full.c.Costs of this suit.d.Any other relief the court deems fit to grant.The Claimant filed witness statement dated 14. 6.2024 which shall be admitted as Claimant’s evidence Claimant also filed List of Documents dated 14. 6.2024 filed on 1. 7.2024 which documents are:a.Claimant’s National Identity Card.b.Claimant’s membership card as issued by the Respondentc.Claimant’s Statement of Accounts as at April 2024. d.Certificate of Loan Clearance dated 20th September 2023. e.Claimant’s Sacco membership withdrawal request form signed and dated 20th September, 2023. f.Demand letter dated 4th December, 2023.
3. The Respondent’s filed Statement of Defence dated 24. 7.2024 on 30. 7.2024, where they denied the claim and stated the claimant have not divulged that there was a resolution of Annual General Meeting which agreed to suspend all refunds to enable it achieve sound financial position to accommodate refunds.Further Respondent states Claimant has not proved she has settled or cleared all her outstanding loans as such has to be cleared first.
4. Respondent also state that there is a Judicial Review case in High Court which is yet to be determined. Respondent state they have numerous cases and necessary to have a more structured approach to handle outstanding matter and as such the claim ought to be dismissed.
5. Matter being a refund matter the Tribunal directed for parties to file written submissions. Claimant filed written submissions dated 5. 12. 2024 and Respondent filed written submissions on 13. 11. 2024. Having considered the pleadings and written submissions by parties the issue for determination areIssue oneWhether claimant was a member of Respondent?Issue twoWhether claimant is to be paid refund of Kshs. 248,717/=?Issue oneWhether claimant was a member of Respondent?Claimant in her pleadings she states she was a member number 25849 and Respondent did not deny the same.To further evidence her averments Claimant has attached her Statement of Account dated 14. 6.2024 in Account number 00002xxxxx with Claimant’s name Karumia Jane Mwarania.Issue twoWhether claimant is entitled to her refund?The claimant filed their payslips as evidence of deductions.The payslip for May 2024 shows deductions made to the Claimant’s salary and shows she had saved Kshs. 276,717. 29/=The Claimant also filed statement of account dated 14. 6.2024 showing her deposits as at 30. 4.2024 was Kshs. 244,717. 29/=The above evidence has not been denied by the Respondent’s to show whether claimant had liabilities if at all.
6. As such taking into consideration the Respondent’s Defence which is mere denials and refer to resolution passed in an Annual General Meeting to suspend refunds the same does not hold water.
7. We are not told when the meeting was and for how long the suspension for payments was made. Even if the Respondent has cash flow issues it is not a sufficient reason to deny the Claimant the fruits of their labour or refund.As such we find merit in the Claimant’s case and enter judgment in favour of claimant against Respondent for Kshs. 244,717. 29/= Plus cost and interest from date of filing suit.
JUDGMENT SIGNED, DATED AND DELIVERED VIRTUALLY AT NAIROBI THIS 12TH DAY OF JUNE, 2025. HON. J. MWATSAMA - DEPUTY CHAIRPERSON SIGNED 12. 6.2025HON. BEATRICE SAWE - MEMBER SIGNED 12. 6.2025HON. FRIDAH LOTUIYA - MEMBER SIGNED 12. 6.2025HON. PHILIP GICHUKI - MEMBER SIGNED 12. 6.2025HON. MICHAEL CHESIKAW - MEMBER SIGNED 12. 6.2025HON. P. AOL - MEMBER SIGNED 12. 6.2025Tribunal Clerk MutaiWafula advocate for the claimant.Metropolitan Sacco – No appearanceHON. J. MWATSAMA - DEPUTY CHAIRPERSON SIGNED 12. 6.2025