The Teachers Service Commission (TSC) has ceased all Sacco deductions for teachers in Bungoma County due to serious concerns.
The decision was announced by TSC’s Chief Executive Officer (CEO), Nancy Macharia, during a meeting with the Senate trade committee.
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The commission’s move, made on March 26 of this year, came after its officers were summoned to the Senate to address issues raised by Bungoma Senator David Wakoli regarding teachers’ deductions.
Senator Wakoli sought clarification on why deductions from teachers’ salaries in Bungoma were being directed to a Sacco accused of misappropriating Ksh12 billion.
In response, Macharia informed the Senate Trade Committee that TSC only halts deductions upon receiving an application from the concerned party.
She disclosed that monthly deductions for 1,165 teachers in Bungoma County, in favor of the Sacco, had been suspended.
Prior to this, Busia Senator Okiya Omtatah had urged TSC to halt the deductions, citing numerous teacher withdrawals from the Sacco, which was on the verge of collapse. Omtatah emphasized the need to safeguard teachers’ salaries and savings, considering them as vital assets.
The issues with the teachers’ Sacco began three years ago when members encountered difficulties in accessing their savings and were denied loan facilities despite having active accounts.
In April 2022, an audit team uncovered that Ksh7 billion had been loaned out to fictitious members. Additionally, concerns were raised regarding the withdrawal of millions of shillings from a single teller at a Nakuru branch.