Kamwenge: Minister Kasolo orders dissolution of Emyooga sacco leadership over fights

The State Minister in charge of Microfinance, Haruna Kyeyune Kasolo has ordered the dissolution of the leadership of the Emyooga sacco for taxi operators in Kibale county in Kamwenge district over internal fights within the sacco.

Kasolo who is monitoring the performance of the program on Tuesday directed that a new leadership is elected to replace the old one after a disagreement on the use of the shs30 million seed capital from government to the sacco.

During the monitoring meeting, the sacco’s chairman, John Barya Atugaba said the shs30 million was used to purchase a Toyota Wish car to operate on the Kamwenge-Fort Portal road.

"We agreed to buy a car that fits in the range of shs30 million but is debt free. All the chairpersons of the five associations that form our sacco went to Kampala and purchased the car. We agreed that the money made by the car daily be banked daily. The record of transactions is explained by the bank statement," Atugaba said.

However, the same was dismissed by a section of drivers led by one Darius Ndyomugabe who insisted that the members were never consulted before a decision to buy the vehicle was reached by the leadership of the sacco.

He insisted that after the shs30 million landed on the sacco account, their leaders never held any meeting to agree on how to use the money.

"They boarded a bus , went to Kampala, and bought  the vehicle. We were never told how much the car cost, and the balance. The taxi works everyday but we have never been told how much it earns us daily, and how we shall benefit from it,"Ndyomugabe said during the meeting attended by the minister.

He noted that whereas members paid the sacco membership fee, they have never been called for any meeting.

Kasolo intervenes

Responding to the allegations, Minister Kasolo directed the dissolution of the leadership of the sacco and consequently, new leadership is elected.

“I direct the RDC, Commercial Officer and other leaders to ensure in two weeks you call all taxi operators to elect new leadership that all will trust in. You are free to approve the current chairman or drop him, but elect leaders that you are going to have trust in. Do that in two weeks," Kasolo directed.

The minister also directed that after electing a new leadership team, the members for Emyooga sacco for taxi operators in Kibale County in Kamwenge district to start saving on a daily basis but also make sure the money raked into the sacco by the taxi that was bought is deposited on the sacco account every day and reported to members.

Kasolo also directed that the car be parked for two weeks until the new leadership is elected.

 

"This taxi is not going to work for two weeks. It is going to be in the hands of RDC and  the DPC. After you have elected new leadership, open a Tax Identification Number (TIN) for your SACCO, and transfer the car card into the SACCO's name," he ordered.

Performance

The Kamwenge  Commercial Officer, Denis Kiiza  told the minister that the district which has two constituencies received shs1.12 billion as seed capital from the Microfinance Support Center and that currently, the loan portfolio is at shs1.5 billion.

"We have recovered loans worth shs761 million. Since the programme started we have managed to mobilize share capital worth shs120 million and the savings worth shs92.6 million. We carried out an audit, and at the end of the exercise, we found out that the saccos all combined made profits worth 52 million shillings."

The Commercial Officer noted the district has been able to improve household incomes following the introduction and implementation of Emyooga program.

“Our people are able to access loans at  very low interest rates. We have carried out capacity building in financial literacy and business development. We have managed to have 13,114 members directly benefiting from the programme but also mobilized 782 associations and 36 saccos across the district.”