Corporate News

Co-ops tribunal seeks Sh100m to speed up reforms

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By MWANGI MUIRURI

Posted  Thursday, October 18   2012 at  21:23

In Summary

At least 15 magistrates are needed to resolve disputes as well as new support staff to boost efficiency.

The tribunal is also lobbying for legislative intervention that will see it upgraded from a subordinate court to an industrial one.

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The Co-operatives Tribunal requires Sh100 million for reforms that will see members benefit from effective dispute-resolution.

At least 15 magistrates are needed to resolve disputes as well as new support staff to boost efficiency.

The tribunal is also lobbying for legislative intervention that will see it upgraded from a subordinate court to an industrial one.

“We are faced with a situation in which we have to review policy frameworks, specifically the Cooperative Development Policy as well as the Cooperative Societies Act CAP 490 to accommodate the adjustments,” the tribunal’s new chairman, Timothy Mwangi, told staff at a retreat in Murang’a town.

“We are relying on private lawyers to write our judgements. The existing policy puts a Sh6,000 ceiling on the amount a lawyer who writes one judgement can be paid. The minimum a lawyer can get to appear for a client in court for one session is Sh10,000.

That has seen our operations delayed as we are not competitive in procuring such services,” he said.

Mr Mwangi said support staff seconded to the tribunal by the Ministry of Co-operatives lacked technical knowledge on the operations of the court.
He further said the tribunal was operating on a shoe-string budget with a Sh20 million allocation against a Sh100m requirement.

He said the money cannot meet their strategic plans tailored to serve the 13,000 registered and functional cooperative societies that have a resource base of Sh230 billion.

He added that the industry has eight million members and that newly registered public transport saccos would be brought on board..
“Many matatu societies have been promoted and over 500 registered by the ministry in the past few months.

We want to bring them into the mainstream of our operations so that we can fully tap their potential to create wealth for members,” he said.

He said the proposals had been sent to Chief Justice Willy Mutunga and Co-operatives Development Minister Joseph Nyagah for consideration.
Mr Nyagah, meanwhile, has confirmed that he has received the proposals and that he is working on an implementation plan.

“We have the proposals and they make sense. I have started modalities of upgrading the tribunal’s status as well as giving out authority to recruit competent staff,” he said.

He said the tribunal required total overhaul although there would be no time to do this since the country will soon be going to the polls, cutting out legislative intervention.

Mr Nyagah said the time it takes to resolve disputes in the Co-operative Movement would, however, be shortened since its offices “will be devolved to the Counties.”

The tribunal currently holds its sittings in Nairobi but its panel also holds limited sittings in Nakuru and Mombasa