Don’t Get Scammed: verify Sacco licensing before investing. The Sacco Societies Regulatory Authority (SASRA) has raised concern over a continuing trend by members of the public undertaking regulated Sacco business with entities fraudulently styling themselves as Saccos, while they are neither licensed nor authorized to undertake the regulated Sacco business.
“Many Kenyans have ended up losing their hard-earned savings to such fraudsters, and consequently, the Authority calls upon members of the public, including private and public enterprises, to cease and desist from undertaking any regulated Sacco business with any entity unless such entity is either licensed or authorised by SASRA,” said Hon Jack Ranguma, Chairman SASRA Board.
He noted that SASRA publishes the list of licensed and authorized SACCOs in the Kenya Gazette and national newspapers every year in January. It also maintains the list on its website, www.sasra.go.ke, throughout the year for ease of reference by the public.
Additionally, the Authority has rolled out an online complaint reporting and inquiry mechanism, which is embedded on its website to enable members of the public to quickly and efficiently report any suspicious operations of any entity purporting to be a Sacco or undertaking regulated Sacco business.
According to SASRA, the Sacco Societies Fraud Investigations Unit (SSFIU), which was established in 2020 with the mandate of detection, prevention, and apprehension of offenders perpetrating fraud within the Regulated Sacco industry, received allegations that a certain unlicensed entity operating as a Sacco collected funds from members of the public with promises of returns among others, and later closed with the members’ funds amounting to Ksh 63.00 million. The case is still pending before the courts for hearing.
Never invest in something you don’t understand. Be sure always to read an investment prospectus or disclosure statement carefully. If you can’t understand the investment and how it will help you make money, ask a trusted financial professional for help. If you are still confused, you should think twice about investing. Research shows that con artists are experts at the art of persuasion, often using a variety of influence tactics tailored to the vulnerabilities of their victims. Beware of Unlicensed Saccos: Protect Your Savings. Learn how to spot and report fraudsters and tips to protect your investments. Â Read www.Co-opNews.com. Always Invest in the Best Saccos. Discover how Saccos are making members millionaires.
