[2025] KECPT 321 (KLR)
The Tribunal found that the Claimant had established his entitlement to a refund of Kshs 167,315.63 by producing uncontroverted evidence of his membership and deposits. The Respondent's reliance on the AGM resolution to suspend refunds was not supported by evidence that the resolution was still in force at the time...
Source-derived case information.
- Citation
- [2025] KECPT 321 (KLR)
- Parties
- Applicant: Chege George Ng'ang'a; Respondent: Metropolitan Sacco Limited
- Court
- Cooperative Tribunal
- Jurisdiction
- Kenya
- Case Number
- Tribunal Case 166/E257 of 2023
- Procedural Posture
- Civil Claim / Judgment
- Outcome
- judgment for the applicant
- Judges
- Janet Mwatsama, B Sawe, F Lotuiya, P. Gichuki, M Chesikaw
- Legal Topics
- Sacco Refunds, Member Withdrawal, Contractual Obligations, By Laws Interpretation
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Chege George Ng'ang'a
Applicant
Metropolitan Sacco Limited
Respondent
Procedural Posture
Civil Claim / Judgment
Legal Issues
- 1 Whether the Claimant is entitled to a refund of Kshs 167,315.63 upon withdrawal from the Respondent Sacco.
- 2 Whether the Respondent's AGM resolution to suspend refunds for two years is binding and enforceable against the Claimant.
- 3 Whether the Respondent's financial instability justifies withholding the Claimant's deposits.
Ratio Decidendi
The Tribunal found that the Claimant had established his entitlement to a refund of Kshs 167,315.63 by producing uncontroverted evidence of his membership and deposits. The Respondent's reliance on the AGM resolution to suspend refunds was not supported by evidence that the resolution was still in force at the time of judgment, nor did the Respondent demonstrate that the Claimant had any outstanding liabilities. The Tribunal held that financial instability is not a valid legal ground to withhold the Claimant's deposits, and the Sacco's by-laws provide for withdrawal and refunds. Accordingly, judgment was entered in favour of the Claimant for the full amount claimed, plus costs and interest.
Court Disposition
judgment for the applicant
Orders
- Judgment entered in favour of the Claimant for Kshs 167,315.63.
- The Respondent shall pay costs of the suit to the Claimant.
Full Case Text
Judgment text and source record
23 paragraphs
Ng'ang'a v Metropolitan Sacco Limited (Tribunal Case 166/E257 of 2023) [2025] KECPT 321 (KLR) (Civ) (12 June 2025) (Judgment)
Neutral citation: [2025] KECPT 321 (KLR)
Republic of Kenya
In the Cooperative Tribunal
Civil
Tribunal Case 166/E257 of 2023
Janet Mwatsama, Vice Chair, B Sawe, F Lotuiya, P. Gichuki & M Chesikaw, Members
June 12, 2025
Between
Chege George Ng'ang'a
Claimant
and
Metropolitan Sacco Limited
Respondent
Judgment
1. Matter for determination is Statement of Claim dated 3/3/2023. He states he withdrew from Respondent sacco on 14/9/2022. His request was to be refunded Kshs 167,315. 63. His prayers are:a.The said sum of Kshs. 167,315. 63/= being deposits.b.Costs of the suit and interest until payment in full.c.Any other relief so deemed appropriate by this Honourable Tribunal.
2. The Claimant filed List of Documents dated 3/3/2023 on 8/3/2023 which held:a.Letter of withdrawalb.Payslip to be used in evidence
3. The Respondent filed Statement of Defence dated 24/4/2023 on 30/05/2023. The Respondent confirmed the Claimant was their member with Claimant membership no. 30920. They however deny the Claimants claim and in particular recalls the Claimant’s withdrawal letter as the same was not received by the Respondent.Respondent aver a resolution was passed in the 2022 Annual General Meeting to suspend funds for a period of 2years because the Respondent was facing liquidity challenges.As such Claimant being a member is bound by resolutions made and respondent’s by- laws.Respondent requested for Claimant’s claim to be dismissedRespondent filed List of Documents dated 24/4/2023 which documents included: Claimant membership statement
Sacco by laws
- 2019 & 2022 Annual General Meeting resolutions
The matter being one refunds the tribunal directed the same be canvassed by way of written submission. Claimant filed written submission dated 10/1/2025 and as at the date of writing this judgement respondent had not filed their written submissionsThe issue for determination is oneWhether the Claimant is entitled to his refund of Kshs 167,315. 63?The Claimant to prove his claim produced his payslip for the month of August which shows the claimant’s deduction of kshs 2,000/= and as at August 2022 had savings of kshs 167,315. 63This evidence is not controverted or denied by the Respondent
4. Respondent’s have not stated which Claimant had any liabilities but their defence is that there was resolution in the year 2022 to suspend all refunds.Indeed, the resolution was passed but as we write judgement neither shows the resolution still stand if at all.Further, the Respondent rely on the By- laws as per paragraph 6 the Statement of Defence which provides for withdraw and refunds.Not being financial stable is not an excuse to not pay the Claimant his dues.UpshotThe Claimant has proved his case and judgement is thus entered in favour of Claimant against Respondent for Kshs 167,315. 63/= plus cost and interest.
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 MutaiNo appearance by parties.Judgment delivered in the absence of the parties.