Rights and Obligations of a Member

Rights and Obligation of Members.

Rights of a Member

A right is what a member of a co-operative deserves to be given, or is entitled to get, enjoy or feel. In order to enjoy these rights, a member must have paid the necessary membership fees and purchased at least one minimum share and also have deposits in the Sacco Society.

These rights are:-

• to attend and participate in general meetings.
• to elect and be elected to the organs of the society subject to this by-laws.
• to enjoy the use of all facilities and services of the society subject to the by-laws.
• to receive periodically and regularly or upon request a statement of account in respect of transactions with the society.
• to access all legitimate information relating to the society including: internal regulations, registers, minutes of general meetings, annual accounts, inventories and investigation reports at the registered office of the society subject to any regulations in force.
• to transfer shares.
• to share in the profits of the society, if any.
• to vote on all matters put before the general meeting of the society.
• to appoint a nominee.
• to ask for a special general meeting subject to the rules and the society by-laws.

Members Obligations/Duties

The conferment of rights to a member also demands that a certain obligations be fulfilled. A member's obligation is what the society expects from a member. As much as a member enjoys rights from the society, he has an obligation to:-

• attend and participate in passing resolutions at general meetings.
• observe and comply with all the society's by-laws and decisions made by organs of the society in accordance with the by-laws.
• buy and pay-up for shares or make any payments as provided for in the by-laws of the society.
• patronize the society's products.
• attend members' education meetings.
• repay loans as per the agreement.
• promote the society and its service or products.
• pay for the debts of the society at the time of liquidation where the assets are insufficient to meet liabilities.
• support projects of the society approved by the relevant authority.

MEDIA WHY REFER SACCO/CO-OPERATIVES ISSUES TO KUSCCO?

I find it absurd that everybody in the media, usually refer questions concerning co-operatives (Saccos especially) to KUSCCO (Kenya Union of Savings and Credit Co-operatives). Why would one go to KUSCCO seeking to register a co-operative or clarification on what a Sacco is? If you go to KUSCCO, the will most probably tell you about their consultancy services and charge you for their services!! Or more confusing people usually ask KUSCCO what Sacco to join? Really?

WHY THE HELL DO THAT?

Isn't there a government department (used to be a fully fledged ministry whose offices are available at every district Sub-County) that has an extension department that:

• Offers advisory services to the Co-operative Movement on development of accounting, entrepreneurship, ICT and Management?
• Empowers members to understand and apply the Cooperative Societies Act and Co-operative Development Policies?
• Identifies opportunities for co-operatives to participate in the industrialization process, acquisition of required capital and value addition?
• Facilitates dialogue between stakeholders on how to create a sustainable co-operative structure?
• Ascertains compliance with provisions of the co-operative societies Act?
• Sensitize the public on the advantages of the co-operative system and?
• Disseminates relevant information on the development of cooperatives?
• Promotes groups to be registered as co-operatives?
• Encourages value addition and co-operative marketing?

KUSCCO is a union. A union is formed by two or more primary co-operatives. KUSCCO is a union of co-operatives and rarely play the advocacy role they claim they do. They though offer financial services to Saccos i.e. loans and insurance services. Technical services like consultancy, by-laws drafting, etc offered by KUSCCO are just too expensive for many Saccos especially for those who want to register a new one. Its is therefore prudent to consult extension services of the Ministry of Industrialization and Enterprise Development, Co-operatives Department at the Sub-County level (District) who will assist you and it is FREE!!!!