Harambee SACCO has resumed the disposal of some of the properties in its huge real estate portfolio, estimated at KSh 1.7 Billion, to boost its cash position
In 2020, Harambee SACCO deferred this exercise due to a significant decline in property prices in parts of the country.
The giant Society, considered the fourth largest Deposit-Taking Sacco in Kenya, in terms of balance sheet size, has advertised the sale of 16 maisonettes in Nyali Estate in Mombasa County.
Dr George Onchiri, who resigned from Safaricom SACCO in August 2018, has been the driving force behind Harambee SACCOs turnaround.
Dr Onchiri replace Renson Mwadoe who was the acting CEO. Mwadoe took over after Harambee SACCO former CEO James Wandera was suspended from office by Sacco Societies Regulatory Authority (SASRA).
Dr Onchir has since worked round the clock to clean up the image and brand of a Society that has for years had problems including fraudulent procurement, loans against sitting allowance of board members, which is contrary to the rules, unauthorized imprests given to board members and destruction of the front office records.
Harambee SACCO has suffered mismanagement in the past
Past top executives have also been shown the door after the Society lost cash through theft of mobile cash and ATM fraud. At one point, SASRA suspended the payment of all allowances, honoraria and bonuses for Harambee Sacco Directors and Staff.
A change in its executive suite, which saw the recruitment of a new Chief Executive Officer as well as Head of Finance, Investment and Strategy, combined with surgical spending cuts, is finally paying off for the giant Harambee SACCO.
Dr Onchiri has put in place a stringent cost-cutting regime and has set its sights on customer focus, technology, staff empowerment, growth of non-funded revenue and disposal of idle assets, to set the Society back on a growth path.
Harambee SACCO draws its membership from National and County Governments, Government Parastatals, Constitutional bodies, Government Departments, Kenya Defence Forces, National Police Services and National Youth Service, has also opened its common bond to allow for members from the private sector-subject to approval from the Board.
According to the SASRA Annual Supervision Report 2020, Harambee SACCO is the 4th largest with a balance sheet size of KSh 32.56 Billion, Total Members’ Deposits of KSh 21.53 Billion, Gross Loans of KSh 22.24 Billion and had Total Income of KSh 3.22 Billion.
Harambee SACCO expects to raise close to KSh 1 Billion through the disposal of properties in Mombasa, 11 acres in Kisumu and 10 acres in Siaya.
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