FLOWER POWER ABUSE! Dutch flower firm Royal Van Zanten on spot over missing workers sh228m savings, alleged labour abuse

Hoofdgebouw

By our reporter

Workers at the Royal Van Zanten flower farm have raised concerns after discovering that nearly 228 million Shillings is unaccounted for in their Savings and Credit Cooperative (SACCO).

The cooperative has had its accounts frozen for the past two months following the shortfall, sparking anger and confusion among members who rely on their savings for personal financial needs.

The SACCO was set up in 2010 to help workers at the flower farm save money and access loans for personal development.

It currently has 120 active members, each of whom joined by paying an entry fee of 5,000 and a share fee of 20,000 Shillings.

According to records, the total savings had reached nearly 259 million, with member loans accounting for about 30.5 million Shillings.

However, a recent account review revealed a shocking reality: the balance in SACCO’s bank account was just 124,783 Shillings indicating that 88% of members’ funds were missing.

Grace Kalawobi, a representative for the SACCO members, says the lack of transparency from both the SACCO committee and farm management has left them with no option but to seek legal action.

“We reported the issue to the Mukono Police Division, accusing the farm’s human resource officer, the finance controller, and the current and former SACCO chairpersons of mismanaging the funds,” Kalawobi told reporters.

Two figures in the SACCO, current chairperson Tonny Deme and former chairperson Emmanuel Nsubuga were detained and later released on police bond.

However, the farm’s finance controller, Pieter Huys, declined to respond to the police summons, stating he had “nothing to record” regarding the matter.

Kalawobi highlighted the harsh working conditions at the flower farm, citing exposure to hazardous chemicals and gruelling physical work, only to have their savings vanish without explanation.

“We work hard, but now the company and the SACCO committee have taken away what we saved,” she said, urging the government and workers’ unions to intervene.

The management of Royal Van Zanten claims the company has no role in SACCO operations, though workers’ contributions are automatically deducted from their payroll.

Nsubuga, the former SACCO chairperson, expressed frustration, stating that workers had requested transparency over funds deducted and remitted but received no support.

“We were summoned and ended up being detained over matters we don’t know,” he said.

Royal Van Zanten’s finance controller, Pieters, defended the company, asserting that the SACCO is independently managed by its committee and criticised workers for attempting to implicate the farm.

Pieter Huys

He further disclosed that the decision to freeze the account came after employees complained of mismanagement of funds.

According to Pieters, the company hired MHKP Associates, an external auditor, to examine the finances, although the audit found no clear source for the shortfall.

The audit report, while unable to pinpoint the shortfall’s origins, uncovered multiple lapses in SACCO management.

Key recommendations from MHKP Associates include a complete reconciliation of bank and cash book records since the SACCO’s inception.

The audit further noted that mandatory meetings – monthly committee reviews and annual general meetings – had not been held, and no annual audit had ever been conducted.

The auditors recommended that the company pursue legal action against the SACCO committee because the procedural oversights may have contributed to the SACCO’s financial mismanagement.

Current SACCO chairperson Tonny Deme disagreed with the audit’s conclusions, arguing that they lacked substantive findings.  He believes that without clear answers on the source of the financial discrepancy, the audit report only adds to the confusion and tension among workers.

However, for the affected workers, their SACCO savings represent years of hard work and sacrifice, and they now face an uncertain future.

Kalawobi and other affected members hope continued police involvement will bring transparency and hold those responsible accountable.

The workers also demand that the SACCO adopt improved governance measures, including regular meetings, audits, and clear record-keeping to restore trust among its members.


DEAR READER, 

CALL/TEXT/WHATSAPP:0777959024 OR EMAIL: redpeppertips@gmail.com WITH AS MUCH EVIDENCE AS POSSIBLE IF YOU HAVE  A HOT STORY YOU WOULD LIKE US TO PUBLISH…

FRAUD IN BANKS, THIEVING GOVT OFFICIALS, INTERNAL AUDIT REPORTS EXPOSES, IMPUNITY & CORRUPTION (in MDAs, NGOs, Private sector), FIGHTS IN OFFICES, JOB WARS/ WITCH HUNT, URA TAX FRAUD/NON-COMPLIANCE, CHEATING MONEY LENDERS, BETTING FIRMS, LABOUR EXPORT COMPANIES, CHEATERS, DIVORCE FILES, S3X NETWORKS, S3X FOR MARKS, HARASSMENT OF ALL NATURE AT OFFICE BY BOSSES, CHILD NEGLECT, WETLAND OCCUPATION, ENVIRONMENTAL DEGRADATION, VIDEOS, S3X SCANDALS, BUSINESS WRANGLES, SUBSTANDARD PRODUCTS, GOLD SCAMS, NSSF REMITTANCES NON COMPLIANCE, LAND ISSUES, POLITICAL WRANGLES…ETC.

SOURCE PROTECTION/CONFIDENTIALITY IS OUR NO.1 PRIORITY.


 

About Post Author