By Ncaba Ntshakala
The Ministry of Commerce, Industry, and Trade, through the Office of the Commissioner for Cooperatives Development, has issued a directive to the outgoing Board of Directors of Bunye Betfu Buhle Betfu Savings and Credit Cooperative Society (SACCO).
The outgoing board members have been instructed to vacate their positions by Tuesday, May 22, 2024, allowing the new board to assume their responsibilities. This directive is enforced under Section 72(4) of the Co-operative Societies Act (Amendment), 2023.
Commissioner for Cooperatives Development Russell Nxumalo in a statement, announced that the decision to remove the outgoing board was prompted by their illegal continuation in office following the society’s elections on March 2, 2024.
The Ministry’s intervention is said to ensure a smooth transition of power and restore proper governance within the cooperative.
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“The decision to remove the outgoing Board comes after it was discovered that they have remained in office illegally since the Society’s elections held on 02 March 2024.
The Ministry has intervened to ensure the smooth transition of power and the proper functioning of the cooperative,” reads part of the statement.
In addition to the directive, the incoming board has been mandated to convene a Special General Meeting within 14 calendar days.
The Commissioner said that the meeting will serve as a platform for presenting the budget for the fiscal year 2024/2025 to the cooperative’s membership, allowing for review and discussion of the financial plans.
Furthermore, in the statement Nxumalo asserted that the Office of the Commissioner will conduct a forensic audit of the society’s operations dating back to 2014.
This comprehensive audit seeks to uncover any irregularities or misconduct that may have occurred during this period.
The Ministry has expressed long-standing concerns about issues plaguing Bunye Betfu Buhle Betfu SACCO, particularly regarding the election of board members and the overall management of the society.
The Ministry has warned that if these issues persist, it may be compelled to deregister the cooperative. The primary goal of the Ministry is to ensure the stability and integrity of the cooperative sector in Eswatini.
This action highlights the Ministry’s dedication to strengthening transparency, accountability, and good governance within cooperative societies.
“Should these problems persist, the Ministry warns that it may be forced to deregister the cooperative. The Ministry’s priority is to ensure the stability and integrity of the cooperative sector in the country.” Said Nxumalo.
Russell Nxumalo emphasized the importance of this intervention, stating, “The problems at Bunye Betfu Buhle Betfu SACCO have persisted for too long, and it is our duty to ensure that the cooperative operates within the bounds of the law.
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Our priority is to protect the interests of the members and to uphold the standards of the cooperative movement in the country.”
Bunye Betfu Buhle Butfu Savings and Credit Co-operative was formed in 1990 and registered by the Commissioner of Co-operative under the who was under the Ministry of Agriculture and Co-operative then and was registered in accordance with the co-operative Act of 1964.
The SACCO is now licensed by the Financial Service Regulatory Authority. The SACCO was formed with the sole purpose of uplifting the standard of living for its members.
The SACCO draws its membership from employees within the public sector in Eswatini. It has over five thousand members.
