What is wrong with this name Cooperative? Judging by recent events in UK and now in Kenya, it is just an antithesis.

This report by Mars Group Kenya puts down the facts of what has been known by Coop staff and market operatives for quite some time:
http://www.marsgroupkenya.org/b...independent-report-2012/

1. Apr 2007 saw bank directors and senior staff acquire Class B shares with over 50% sold to directors and Mr. Gideon Muriuki as key beneficiary, just before the IPO.

2. The shares were infact financed by loans from same institution and related SACCO, and issued in a manner to obtain connivance from senior staff, including dividends.


But what to do, Nairobi Securities Exchange is a stuffed old boys club. Can they really chastise their member - Kingdom Securities? At first glance, this Kingdom is definitely one of this world, not the next?

Let us accept and move on.
Share price past Friday: 18.10

Kenya yetu ni nchi ya ajabu!!!

Sing along if you may.

Seriously?? Insider trading!! Read full report HERE

Pesa Nane insider trading is when an employee buys/sells a stock when they know the results in the book either to cash in or to avoid a loss. ESOP is a benefits program that enables employees to buy shares at discounted prices before listing or when trading. Its not illegal but in this case it "could" have been deemed immoral.

Dont get carried away by these alarmist NGO's

ESOP? If this deal was above board all staff should have been allowed to buy the shares at 100 bob for 100 shares, and not compeled to buy shares at the IPO at 9 bob per share.

Who says staff were'nt allowed? Rem this is not the first time this issue is brought up

Mega fraud...unbelievable the same thiefs are still running the bank...what else are this thiefs hiding? but this is Kenya mega corruption must be a way of life now....look at responses above LMAO.

1. By logging in here...I will assume you are literate.

2. So go and read the report...the report is clear on the issues you have raised above...why should I recite something that somebody has already raised?

3. After reading the report...google what an ESOP is? And what is insider trading? You will get your answers.

4. I will ask you again...did you read the report? The english is simple & plain...the evidence is well laid out.

5. I seriously dont understand your argument...I think you are the type who argue for the sake of arguing....rather the word FOOL is appropriate LOL.

this could definitely affect share price negatively come tomorrow

@the deal, am assuming this is the first time you are hearing about the supposed irregularities. The issue was raised severally during and after the IPO. Indeed this report seems to have been authored around 2008/2009 period.

The so-called dossier by mars group contains info that was in the
bank's IPO information memorandum. The bank's top mgt was allocated shares in an ESOP program in 2007. Again this info was publicly available before the IPO. Was the decision to give themselves shares before the IPO legal? I don't know but considering the bank was registered as a cooperative society, all they would have needed to do was ammend a by-law.

Was it morally okay ? Now that we can argue until Jesus comes back.