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{
    "id": 1495574,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1495574/?format=api",
    "text_counter": 458,
    "type": "speech",
    "speaker_name": "Aldai, UDA",
    "speaker_title": "Hon. Marianne Kitany",
    "speaker": null,
    "content": "become one and the same with the cooperatives. The amendments will restrict a board member to serving for not more than three years. That will allow vibrancy on those boards. The other issue is that of auditors. Many times, the board members collude with the auditors to siphon members’ money. We have also stipulated that auditors cannot audit those cooperatives forever. In terms of dividends, we find instances where cooperatives borrow money from banks to pay dividends because they have already misused members’ money. We have stipulated that any dividends to be paid out will not come out of the borrowings from a bank. Members will have to give the rights to the board to borrow money for specific reasons. Therefore, that will help us to avoid situations where cooperatives go to banks to borrow money to pay dividends and leave the cooperators with debts. In terms of the dissolution of cooperatives, we found that after many cooperators have borrowed money and left the cooperatives in great debt, they dissolve the cooperatives without the members knowing. The dissolution of cooperatives has also been dealt with at great length, so that we can have a proper way of dissolving cooperatives. There are many other issues like settlement of disputes, rights of members and an inspection of these cooperatives to ensure that they adhere to their terms and ways of doing things. First, I would like to thank the Departmental Committee on Trade, Industry and Cooperatives because as you have heard, this Bill is very voluminous with a total of about 168 clauses. This Bill took us many days and nights and we had to stay until the wee hours of the morning trying to go clause by clause of this Bill. The Members of the Departmental Committee on Trade, Industry and Cooperatives were very committed and supportive to this Bill. The actual assent of this Bill will see a new Kenya and a new way of doing things, especially for the cooperators whose money have always been lost because of mismanagement and people who try and create cooperatives for the sake of swindling unsuspecting Kenyans who join cooperatives not knowing that the real reason why those cooperatives were created was just for the purposes of swindling money from individuals. Therefore, I would like Members to support this Bill because it will give a new dawn and light to cooperators who are spread across this country. For example, tea farmers in my constituency have formed a factory and their money is running that particular factory. Once assented to, this Bill will help the farmers to know that their money, which is now running a tea factory, is run above board and their hard-earned cash will be secured. Other sectors that are going to benefit are not only in the agricultural sector, but all sectors, including the matatu industry, which has cooperatives which will benefit from this new Cooperative Bill and new order that we are putting into it, including sectors like livestock. I know you have mentioned about camels. I think that would be a sector as well. All sectors basically, because if we look at how farmers or Kenyans are saving their earnings nowadays, they do so through cooperatives because they believe in teamwork and putting resources together. These resources need to be secured. This Bill is sponsored by the Government, and it could not have come at a better time when the Government needs to secure and make Kenyans who are cooperators secure with their hard-earned savings and incomes that they get. Thank you. I support."
}