NAIROBI: The closure of Chase Bank last week caught many clients by surprise. Many farmers and businessmen were forced to keep their plans on hold following the announcement that the bank was now under receivership.
Andrew Wetosi from Chwele, Bungoma had travelled to Eldoret town to buy fertiliser and maize seeds for his four-acre farm.
He had heard that Chase Bank, where he has a savings account, had been put under receivership, but chose not to believe the news. He made his way to his branch despite the fears that was tagging in his heart.
On reaching the bank, Wetosi was confronted with barricaded doors.
“I had prepared my farm and was planning to plant over the weekend. I have been forced to shelve those plans as I look for alternative means of getting money to buy inputs,” said Wetosi.
Wetosi, who also doubles up as an electrician in Eldoret town, added that the bank had approved his plans for a Sh150,000 loan to stock a shop he had built. But now he is counting losses amounting to thousands of shillings as his business plans will have to wait until the bank is back on its feet. John Simiyu is a middleman who buys maize from farmers and sell it to millers in Eldoret town. He,too, is not sitting pretty and expressed fear of an impending financial ruin.
He said his business has been paralysed as he cannot access his savings account, where he had Sh200,000 meant to pay a group of farmers in Moiben from whom he had purchased 70 bags of maize.
“If I cannot transact my business, how will my five children go to school next term? What will my family eat if it takes longer to access my money?” He posed.
Simiyu said he was angry that there had been no communication from the bank or Kenya Deposit Insurance Corporation, which has assumed management of the bank. To add to his frustrations calls to the number given for clients to raise complaints was not going through.
Margaret Asega, who runs a catering and events organising company said she has a business account with close to Sh100,000.
“I was to organise a pre-wedding event in Marakwet at the weekend, but have had to inform my clients that I was pulling out without going into details to try save my reputation,” said Asega.
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