A clash has erupted between the Police’s Exodus Savings and Credit Co-operative Organisation (SACCO) and multiple money lending institutions in Kampala, signaling a fierce competition for client retention.
Wilson Omoding, head of Exodus SACCO, confirmed reports of the SACCO buying off loans from moneylenders acquired by Police officers, with at least 20 officers’ loans being acquired weekly. Omoding attributed this to officers fleeing from moneylenders due to incessant deductions.
The revelation comes after Deputy Speaker of Parliament Thomas Tayebwa directed an investigation into involuntary deductions from Police officers’ salaries as savings with Exodus SACCO. This followed findings by the defence and internal affairs committee that the SACCO’s management violated the Co-operatives Societies Act by denying officers the option of voluntary saving.
In response, Omoding emphasized the SACCO’s autonomy and independence, operating under the patronage of the Uganda Police Force to enhance officers’ welfare. He disclosed a slight decrease in membership but noted significant growth in the loan portfolio, reaching shillings 45.8 billion, with total assets at shillings 69.9 billion.
Despite these developments, Parliament has demanded the immediate cessation of mandatory deductions on officers’ salaries until voluntary membership is ensured. Internal Affairs State Minister Gen. David Muhoozi defended the deductions as beneficial to officers’ welfare, sparking disagreement with Tayebwa, who deemed the deductions unlawful.
