ADVOKS GLOBAL · KENYA
Sacco Societies Act
27. Revocation of licence
Edition: 2025-06-20 · In force
27. Revocation of licence
(1)The Authority may, by notice in writing to a Sacco society, revoke the licence if the Sacco society—(b)fails to comply with this Act, or any rules, regulations, orders or directions issued under the Act or any condition of the licence;(c)fails to pay the annual license fee as required under section 25(3);(d)does not hold at least fifty percent of the capital requirements as may be prescribed in the regulations;(e)has knowingly engaged in serious criminal or fraudulent acts that are likely to cause insolvency, substantial dissipation of assets or earnings or may otherwise weaken the deposit-taking Sacco society's condition or seriously prejudice the interests of the deposit-taking Sacco society's members.(2)The Authority shall, before revoking a licence, give to the Sacco society not less than fourteen days' notice in writing of its intention and shall consider any representations made to it in writing by the Sacco society within that period before revoking the licence.(3)The Authority shall cause the name of every Sacco society whose licence is revoked under this section to be published forthwith in the Gazette and at least one newspaper of national circulation.(4)Where the licence of a Sacco society is revoked or cancelled, the Sacco society shall not be entitled to any refund of the license fee in respect of any unexpired period of the licence.(5)An aggrieved Sacco society may appeal to the Cabinet Secretary in respect of a revocation of its licence within thirty days after being notified of the revocation.(6)An appeal shall not have the effect or suspending the actions of the Authority while the appeal is being pursued.(7)The Cabinet Secretary may reverse the decision of the Authority only if—(a)the Authority failed to follow required procedures in making its decision;(b)the Authority's decision was contrary to this Act and the regulations;(c)there was no factual basis for the Authority's decision; or(d)based on a review of the record, the Authority committed a manifest error in its assessment of facts, or abused its discretion in taking its decision.(8)The registration of a Sacco Society, the license of which is revoked under the provisions of this Act, shall be cancelled in accordance with section 62 of the Co-operative Societies Act (Cap. 490).