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KUSCCO gets temporary reprieve as High Court halts auction over Sh108.8 million debt

The Kenya Union of Savings and Credit Co-operative Organisation Limited has obtained temporary relief after the High Court stopped the auction of its offices over a disputed Sh108.8 million claim.

In a ruling delivered under a certificate of urgency, Judge Linus Kassan granted the organisation a 30-day stay of execution, effectively suspending any auction or enforcement action against its property.

KUSCCO moved to court through its lawyer Cecilia Miller, arguing that the intended auction would cause irreparable harm and seriously disrupt the operations of the national umbrella body for savings and credit co-operatives.

The application was filed on January 27, 2026 and was immediately certified urgent.

The case, Kenya Union of Savings and Credit Co-operative Organisation Limited versus PEA Ruiru Co-operative Savings and Credit Society Limited, arises from a dispute over Sh108.8 million, which triggered steps to auction KUSCCO’s offices to recover the claimed amount.

In his directions, Kassan ordered that execution be stayed for 30 days from the date of the ruling.

The court further directed that service of the application be effected within two days.

Both parties were also given seven days to file their responses and written submissions.

Kassan scheduled the matter for inter partes hearing on February 12, 2026, when the court will determine whether the temporary orders will be extended or lifted.

The ruling gives KUSCCO short-term breathing space as it challenges the enforcement measures over the disputed debt.

KUSCCO is the national umbrella body representing and supporting SACCOs across the country.

CH Reporter

CH Reporter

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