Sacco Times

Keeping you informed

CBK to sell Musco Towers

1 min read


By Malachi Motano

Musco towers

The Cooperative Bank of Kenya (CBK) wwill now be able to to sell Moi University Savings and Credit Cooperative Society (Musco) Towers so that it to recovers a Sh550 million loan.

According to the High Court judge Justice Hellen Omondi, the documents produced in court had proved Musco obtained the loan between 2008 and 2016, but failed to pay back.

Justic eomondi said she was persuaded by the argument raised to the effect that Musco and the bank entered into an agreement on the basis of which Musco Towers was advanced funds on the promise to repay.

Judge, “What I have gathered since the beginning of the case is that the bank issued several demands and statutory notices which were ignored. Furthermore, on five separate occasions, the bank allowed Musco to renegotiate the loan but nothing was done,” Justice Omondi said.

The sale will leave over 3,000 Moi University workers lose their nine-storey building investment is located in Eldoret Town and sits on a 0.11 acre plotinvestment when a Sh340 million building owned by their sacco is auctioned.