The government appointed investment banker Jimmy Kagoni as acting Chief Executive Officer. Members got their refunds either as cash or land depending on what they requested.
Kagoni told journalists that the Sacco was still going to complete compensating all members adding that there were assets in Mavoko, Kilimabogo and Joska that were yet to be distributed.
“We haven’t exhausted the land in Kilimambogo, Mavoko, Joska, Subukia and Nyahururu… once we give them their 50 by 100 whatever they want to do with it, if it’s selling or developing that is for them to decide,” Kagoni explained.
On November 21, 2020, Ekeza Sacco released a statement noting that over 4,000 customers with shares worth less than Ksh50,000 had received back their refunds.
The Sacco had started refunding members in phases. The refund process commenced in January 2020 and the plan was to pay 1,500 members in the first phase and it involved those who had saved Ksh5,000 downwards.
The second phase was for members he owed Ksh20,000 to Ksh50,000. Investors who were demanding up to Ksh200,000 would be refunded later on.
Controversial televangelist, David Kariuki Ngare alias Gakuyo, who founded Ekeza Sacco was forced to surrender to the police after accusations of defrauding members money amounting to around Ksh1.5 Billion.
Gakuyo was under the radar of the security officers following an initial directive by Interior CS Fred Matiangâ€™i.
He had promised the victims that rogue officials mismanaging funds in the cooperative movement would be prosecuted after investigations.
The scandal has made headlines in the country for some considerable time now with members of the Sacco coming out to demonstrate against the alleged embezzlement of their money in separate incidents.
The money was apparently transferred from the Sacco accounts to the personal account of the bishop for his personal use.
In 2018, the government revoked the license of the Sacco following complaints by the members that it was sharing financial accounts with the Gakuyo Real Estate Company.
When pressure mounted on Ngare in 2019 in relation to the scandal, he attempted to sell his properties, hotels, and parcels of land in order to pay the members.
He intended to sell Lillies Hotel in Juja, Salama House and Swift Breeze Hardware on Garissa Road, a quarry in Murangâ€™a County, and a 250 acre land in Machakos County.
His attempts were, however, stopped after an application from the Commissioner of Cooperatives.