President Uhuru Kenyatta has directed Ministry of Industry, Trade and Co-operatives Cabinet Secretary (CS), Peter Munya to restructure Kenya Farmers Association (KFA) to improve the welfare of farmers.
Speaking on Monday during a press conference on the status of KFA, Munya said that KFA has undergone a number of changes in its legal status since inception.
He added that though KFA played a major role of providing farm inputs to farmers, it has not met the intended objective. He further revealed that the former immediate board that was managing KFA had failed to account for its activities.
“The Board had failed to convene general meetings contrary to Section 27 of the Cooperative Societies Act, failure to present audited accounts to the members, failure to file annual returns with the Commissioner for Cooperative Development,” said Munya.
Munya further added that the board was borrowing in contravention of Rule 34 of the Co-operative Societies Rules, disposing of assets without member’s approval and incurring expenditure without approved budgets in contravention of Rule 12 of the same rules.
“Following a directive from the president, the board will be dissolved and a caretaker Board consisting of nine persons will be appointed. The caretaker Board will be in office for a period not exceeding six months,” added Munya.
Munya said that the Caretaker Board will conduct the affairs of KFA in accordance with the established laws and regulations, verify assets and liabilities of KFA, clean up the members’ register, review and amend the bylaws of KFA, formulate a business plan and revival strategy for KFA.
He added that the board will update KFA books of accounts and audit the financial statements, reform the operations of KFA, convene and prepare for a General Meeting to receive consider and approve accounts and elect a substantive board of directors.
The caretaker Board will support the government on restructuring of KFA as mutually agreed on 9th September 2019.
By Charity Kanyoro