On February 19th, 2021 the Commissioner of Co-operatives dissolved the seven-member Stima Land Investments board following a loss of the money, a move that prompted that team to file a suit in court seeking the reversal of the decision
The top management of Stima Land Investments Savings and Credit Cooperative (Sacco) was recently thrown out of office by the Commissioner of Co-operatives for the loss of Ksh. 500 million in a suspected fraud case. The Weekly Vision Online has established the institution is a segment of Stima Sacco, but with an independent board, they, however, share the same roof.
Sources told our writer that the current management has conned its member’s hundreds of millions of shillings through fraudulent land deals, that the Sacco lost in less than one financial year, reportedly landing into the deep pockets of top officials at the organization.
The massive scam saw the officials ‘buy’ already occupied land even without conducting proper due diligence, probes or site visits, failed to settle transactions after putting down initial deposits
On February 19th, 2021 the Commissioner of Co-operatives dissolved the seven-member Stima Land Investments board following a loss of the money, a move that prompted that team to file a suit in court seeking the reversal of the decision by the Commissioner. The Commissioner’s actions were prompted after a report emerged from an audit firm, Deloitte which revealed how Stima Investment lost money through multiple irregular land purchases across the country.
The massive scam in which officials ‘bought’ already occupied land even without conducting proper due diligence, probes or site visits, failed to settle transactions after putting down initial deposits and in other cases collected funds from members even before the preliminary purchase agreements were signed. Officers from the Directorate of Criminal Investigations (DCI) are reported to be on their case, this is after the Commissioner of Cooperatives sacked the previous board after the findings with the CEO Nicholas Ochieng at the epicentre of the whole business.
The fraud, part of which is also documented in court filings, reveals widespread mismanagement of funds at Stima Investment, an arm of the 13,565-member Stima Sacco Society. To date, the Sacco has nine branches in Nairobi City’s (Parklands/Ngara where it is headquartered), Mombasa, Kisumu, Nakuru, Olkaria near Naivasha, Eldoret, Nairobi CBD, Embu, and Kawi Centre the energy ministry headquarters in South C.
The source told us that this is just the tip of the iceberg, he added that the fraud and outright looting being executed ruthlessly by Stima’s top team is a show of unbridled impunity, wild arrogance, recklessness and gross looting which are a detriment to members’ interests and their valuable monthly savings some from meagre salaries.
Contacted for a comment on the revelations through a phone call, Mr Ochieng said: “I don’t know what you are talking about and some of you media people are stupid. Why are you bothering me at all and what business does my organization have to do with you fellows?” Mr Ochieng continued after repeated self-identification by our writer: “Kwani who are
you and where are you from? What do you think you are to ask me such stupid questions? What business do you have to do with Stima Land Investments? You are not even a member or shareholder to pose any questions to me.”
Although the CEO survived the axe from the Commissioner of Cooperative when he dissolved the immediate former board, the architects and executioners of the whole multi-billion shillings land investments scam are seating pretty as if nothing ever happened.
There’s no story that cannot be told. We cover the stories that others don’t want to be told, we bring you all the news you need. If you have tips, exposes or any story you need to be told bluntly and all queries write to us [email protected] also find us on twitter.