Haruna Kyeyune Kasolo, the State Minister in charge of Microfinance, has ordered the leadership of the Emyooga sacco for taxi operators in Kibale county’s Kamwenge area to be dissolved due to internal squabbles.
After a disagreement over the use of the shs30 million seed funding from the government to the sacco, Kasolo, who is monitoring the program’s success, instructed on Tuesday that a new leadership be elected to replace the outgoing one.
The sacco’s chairman, John Barya Atugaba, revealed during the monitoring meeting that the shs30 million was utilized to acquire a Toyota Wish automobile for usage on the Kamwenge-Fort Portal road.
“We agreed to buy an automobile in the Shs30 million area that is debt-free.” The car was acquired in Kampala by all of the chairpersons of the five associations that make up our sacco. We agreed that the money earned by the car would be deposited into a bank account on a daily basis. The bank statement explains the transaction record,” Atugaba explained.
However, a group of drivers led by Darius Ndyomugabe refuted the claim, claiming that the members were never contacted before the sacco’s leadership made the decision to buy the vehicle.
He stated that after the shs30 million was deposited in the sacco account, the leaders never met to discuss how to use it.
“They took a bus to Kampala and purchased the automobile.” We were never told how much the automobile cost or how much the remaining payment was. “We have never been told how much the cab earns us on a daily basis, or how we would benefit from it,” Ndyomugabe stated during the meeting attended by the minister.
He pointed out that despite paying the sacco membership fee, members have never been summoned to a meeting.
Kasolo steps in to help.
In response to the charges, Minister Kasolo ordered the sacco’s leadership to be dissolved and new leadership to be elected.
“I direct the RDC, Commercial Officer, and other leaders to call all taxi operators in two weeks to elect new leadership that everyone will trust.” You have the option of approving or dismissing the present chairman, but you must elect leaders you can trust. “Get it done in two weeks,” Kasolo said.
The minister also ordered that, after electing a new leadership team, members of the Emyooga sacco for taxi operators in Kibale County’s Kamwenge district begin saving on a daily basis, as well as ensuring that the money raked in by the taxi that was purchased is deposited on the sacco account every day and reported to members.
The car was also ordered to be parked for two weeks until the new leadership was elected, according to Kasolo.
“This cab will be out of service for two weeks.” The RDC and the DPC will be in charge of it. “Open a Tax Identification Number (TIN) for your SACCO and transfer the car card into the SACCO’s name after you have elected new leadership,” he said.
Denis Kiiza, the Kamwenge Commercial Officer, told the minister that the district, which has two constituencies, received shs1.12 billion in seed funding from the Microfinance Support Center, and that the loan portfolio currently stands at shs1.5 billion.
“We were able to recover loans totaling Shs761 million.” Since the initiative began, we have been able to raise Shs120 million in share capital and Shs92.6 million in savings. We conducted an audit, and at the conclusion of the exercise, we discovered that the saccos had made profits of 52 million shillings.”
Following the creation and implementation of the Emyooga program, the district was able to boost household incomes, according to the Commercial Officer.
“Our citizens have access to loans with extremely low interest rates.” We’ve done financial literacy and business development capacity building. We were able to directly help 13,114 members through the initiative, as well as mobilize 782 associations and 36 saccos around the area.”