BOSETU on PEUBO predicament

SHARE   |   Monday, 23 October 2017   |   By Winston Radikolo

As BOSETU leadership we confirm that indeed it’s true that our micro lending company, PEUBO is facing some challenges with respect to issues of compliance. We confirm further that the union commercial wing has been working closely and cooperatively with NBFIRA in this regard, and as a consequence, NBIFIRA, in view of what PEUBO has in place in terms of corporate governance requirements, categorized PEUBO as a micro –lender under the “second best category” out of 5 categories after completing their risk assessment profile of the entity. We further state it on record that during the otherwise healthy interaction on this matter of compliance between the union commercial wing and NBIFIRA, a number of requirements were complied with that included among others, the provision of Peubo Conditions of Service, PEUBO structure, HR Policies, process maps showing the transactions handling flow, Board Charter, Credit and Lending Criteria, Know your customer document, actual products, etc., We, however, acknowledge that indeed the company had a backlog of audited financial statements including 2017. We can confirm that the 2015 financials have been completed and passed by the Board for onward submission to NBFIRA. Work on those for 2016 has started and the objective is to have them completed within a week and half. Preparatory work for 2017 has commenced with a view to having them completed by month end. It is on the basis of these delays in submitting audited financials that the company was regarded as not complying. We confirm further that on Wednesday 11th October, NBIFIRA summoned the PEUBO officers to their offices only to issue them with a letter that suspended the company’s operating license, giving them up to the end of October to have complied. This indeed came as a shock. Staff is, however, working around the clock to fast track issues of the financials in a view to beat the set deadline. In the midst of this, we appeal to members to remain calm as this matter is being addressed to have the PEUBO license restored. The engagement with the Regulator will continue to appraise them of the progress on the ground.

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Cde Winston Radikolo

BOSETU President



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