Report expose shoddy registration of a Murang’a coffee society

The Mountain Journal

editor@themountainjournal.co.ke

An inspection report has exposed how a dubious registration process  was  used by individuals to register Marga Farmers Cooperative Society in Murang’a implicated in coffee hawking among other malpractises.

The inspection report  established how the former officials bundled out of Kangunu farmers cooperative society last year registered a coffee society using falsified  documents.

The report by Charles Mugwika and Kennedy Otachidated December 17, recommended the suspension of the society certificate, awaiting its cancellation followed by the liquidation process.

 The presence of  Marga society, the report outlined, threatened to weaken the market position of farmers as it was buying cherry in cash through  agents positioned in strategic positions in Mathioya and Kangema.

 “From the records and observations, the economic viability of Marga Society limited is uncertain as it is not able to meet its financial obligations. The rush to borrow funds from banks in its first year of operations is enough evidence of the weak viability of the cooperative,” read the report.

The report read by Charles Mugwika dated December 17 outlined that the Mathioya based cooperative society founded last year is led by officials implicated in the siphoning of Sh 117,048,669 property of Kangunu society in a period between 2018 and October last year. 

The inspection team established that the officials of Marga were those bundled out of Kangunu society last year by Cooperative Cabinet Secretary Wycliffe Oparanya after they were listed with myriad malpractises.

 Another malpractice the society received soft loans from different entities from  Phylis Nyambura Wachira of Sh 1,500,000, Nancy Wacere Gathu Sh 275,000, David Wagura Macharia a member of Thunguri women group and serving as a treasurer and with the authority of Thunguri Women Group  Sh 170,000.

“Murang’a County Government has taken up the matter on the registration and disciplinary action against the officers who handled the registration documents,” said Mugwika who read the report during a coffee stakeholders meeting at the county chambers chaired by Murang’a East Deputy County Commissioner Charles Muriithi. 

During the inspection team noted that the people who signed the acceptance on behalf of the proposed cooperative had been adversely mentioned in an inquiry report, therefore making the bylaws and the application for registration ineligible for processing by the office of the Commissioner.

The former cooperative in Mathioya  a Mr Karingu, the report detailed during interviews on the formation of Marga society, denounced attending a meeting at Goshen Hall in Kiria ini market. 

“Karing’u however disowned the minutes stating that he was not aware of such an organization. Some members who were interviewed denied the existence of such a meeting and stated that they have never dealt with that officer,” the report further expounded. 

The report detailed how  Marga Interim chairman Geoffrey Maina Macharia was surcharged by the inquiry report  Sh 7,095,262.90 siphoned at Kangunu society,  Stephen Marioko Interim V/Chairman surcharged Sh 108,642,472. 

 Also adversely mentioned was Margaret Wairimu Macharia,  the interim  Secretary Sh  989,540.

The former secretary manager Peter Macharia Warahu, at Kangunu, the report unearthed  how he remitted through his mobile phone Sh 4,924,000 to Margaret Wairimu Macharia, a secretary  to Marga society between May 10th  2025 and November 10th  2025.

“The above monies could not be described authentically what was being paid for but transfers to other individuals could be traced although no evidence of members payout as the entire coffee cherry was in the Store hence no sales to warrant any payout,” read part of the report.

 The auditors advised the  County cooperative office to increase member’s education, training and information to empower them to become loyal and to support the existing cooperatives.

The government moved to conduct inspection on Marga following complaints raised by cooperative officials  from cooperative societies of Kamacharia, Kangunu, Kiru,New Kahuria, Kanjahi, Kiawanduma, Karuya, Nyakuru, lyego and New Kiriti.

 The officials of Marga, in their response, disputed all the allegations citing them as malicious and employed to bring down a farmers investment.

Leave a Reply

Your email address will not be published. Required fields are marked *