The Teachers Service Commission (TSC) announced on March 26, 2024, the cessation of Metropolitan Sacco deductions for teachers hailing from Bungoma County. This decision was disclosed by Dr. Nancy Macharia, the CEO of TSC, during her appearance before the Senate Trade Committee. She addressed concerns raised by Bungoma Senator David Wakoli regarding unclear Sacco deductions, despite directives from the Commission.
Senator Wakoli sought clarification on why deductions were being directed to a Sacco accused of embezzling KSh12 billion. Dr. Macharia explained to the committee that TSC only halts deductions for teachers without loan liabilities upon formal application. She further indicated that deductions for over 1000 teachers from Bungoma County had been ceased following due procedure.
The halt in deductions comes after Busia Senator Okiya Omtata urged the teachers’ employer to discontinue deductions, citing concerns over the Sacco’s impending collapse. Senator Omtata argued that salaries and other savings belonged to the teachers and needed protection. Additionally, the committee raised inquiries regarding large sums of money withdrawn from a single teller at a Nakuru branch.
The Metropolitan Sacco encountered difficulties three years prior when some members discovered their inability to make withdrawals or access loan facilities despite having active accounts. An audit conducted in April 2022 revealed that the Sacco had disbursed KSh7 billion in loans to nonexistent members, exacerbating its financial woes.
