THE CONSTITUTION
Chapter one
NAME OF GROUP:
VEHICLE RECOVERY AND TOWING SELF HELP GROUP
P.O BOX 612-40100, Kisumu
Next to GPO offices Kisumu.
Town - Southern
Chapter two
• VISION
Our vision is to enable every member get an opportunity to earn a living through dedication and
hard working
• MISSION
Our mission is to promote development, create, eradicate poverty and nature youth talents
Chapter three
OBJECTIVES
• To create self-employment to the youths
• To mobilize resources for economic developments of the group
• To assist members to join health service I.e N.H.I.F
• To instill discipline among members
• To embrace unity of members
• To improve health status within the community
• Aim to change the mindset of members towards good morals.
VALUES
Provide a culture of family and community by promoting loyalty and using words of affirmation
and encouragement.
MEMBERSHIP
• Must be a Kenyan citizen.
• Must be individuals aged between 18yrs and 70yrs
• Each member must pay a registration fee of Ksh 1000 which is nonrefundable.
• Must have an income generating activity
• Must portray good conduct and behavior
• Must comply with group rules and regulations
• MUST contribute weekly shares of ksh 200 ,welfare ksh100 and merry-go-round ksh200
• Membership is open and anyone willing to join must undergo an interview done by
members on the meeting day.
• Any member desiring to leave the group shall submit his/her resignation letter to the
secretary only if he/she does not have any loan.
• Must give a one month notice.
• The group shall be up to date in their repayments before such resignation is approved.
• To be refunded 90% of his/her savings or any other dividends
ROLES OF A MEMBER
• Must obey the rules
• Must participate in group activities or meetings
• Must be attentive and polite.
• Must give his/her contribution in any matter that may come up and be proved necessary
• Have savings in the group
Chapter four
OFFICE BEARERS
a. The group shall consist of;
• Chair person
• Secretary
• Treasurer
b. Must be able to read, write and have good communication skills.
c. Must protect the group resources and records.
d. Must handout all group financial report in the process of resignation to the satisfaction of the
group members.
e. Any office bearer shall be subjected to removal of office when found guilty of gross
misconduct and violation of the constitution.
FUNCTIONS OF OFFICE BEARERS
CHAIR PERSON
• Chairs all group meetings.
• Deliberate agenda of the meeting
• Ensure all officials are performing their duties as directed by the group
• Signatory of the groups account
• Keeps the group certificate
TREASURER
He/she shall
• be in charge of all group financial activities and transactions in the group
• Collect and record both loans and savings from the members
• Prepare and give weekly or monthly financial reports
• Maintain and keep all financial account books
SECRETARY
He/she shall
• Document all the discussions of the group
• Be in-charge of writing and maintaining of minute book
• Send out notices of meetings covered by the chair person
• Filling , signing and maintaining of passbooks
• Recruit new members
• Ensure proper co-ordination of group programmes
• Prepares meeting places and arranges siting arrangements
COMMITTEE
• The group must have committees composed by members.
• The committee should be responsible for conflict resolution.
• The committee should handle matters welfare.
CHAPTER FIVE
ELECTIONS
-Election of office bearers to be done by a show of hands or ballot papers.
-One must have been a member for not less than 6 months.
- Elections to be done by ¾ of members.
-One must be literate I.e. able to read and write in English
-Elections shall be annually.
- Members to be given one month notice before elections.
- Reports to be given immediately after the election.
-In case of election dispute, a member of social worker must be invited to oversee the re-election
process.
- Handing over will be done the following week after election with full confirmation of the
financial report.
SIGNATORIES
Authorized signatories of the group are
• Chair person
• Treasure
• Secretary
• Member
N/B Three of the four officials can sign in case one of the officials is absent
MEETINGS
There will be compulsory weekly meeting. Members shall be;
• Contributing their weekly savings/loans.
• Applying and approving loans.
• Discuss group objectives.
• Discuss any other matters affecting individuals, members and the group at large.
• An in-person meeting shall be held every Saturday at 10:00am-11:00am in front of G.P.O
offices, Kisumu.
• Meetings to start with at least 3/4 of the total number.
(I) SPECIAL MEETINGS
To be held in case of emergencies
Chairperson shall assemble all members to discuss the emergency at hand
(ii) A.G.M (ANNUAL GENERAL MEETING)
To be done once a year (at the end of the year) where there shall be closing and adjournment of
the group
Chapter six
FUNDS/FINANCES/LOANS
• SAVINGS
Every group member SHALL be entitled to a minimum savings of ksh200 every week
• WELFARE
This shall be used for funding the group activities and projects
Minimum amount to be saved will be ksh100 weekly
• MERRY GO ROUND
All group members shall be entitled to MGR
• LOANS
• Shall consist of chairperson and officials.
• Visit the borrowers and business , assess it and present their findings to the group for
deliberation before finding any member
• Shall assess every loan application form
• Visit members residence/homes to verify the existence of pledged items, their conditions
and ownership
• All members to approve for the loan
• All members shall share both profit and loss
AUDITING
Will be done thrice a year
(E)BANK
The group shall have its own account
Members savings and any other funds MUST be deposited to the groups bank account and bank
slip brought to the meeting for reference
CHAPTER SEVEN
BEREAVEMENT
Service shall be rendered in respect to the below
• Registered members
• Members wife
• Members child
• Parents
When a member dies
(1)The group shall provide a coffin worth ksh10,000 and suit worth ksh2,000
(2) All members must attend the burial
(3) Transport will be calculated depending on the destination
(4) Failure to attend without genuine reason will lead to a penalty of ksh 1000
(5) Additional milk of 2 boxes and sugar 10kg
WIFE
Treated the same as member except for suit. In case the member is polygamous, then only
recognized wife will be considered
CHILD-UPTO 17 YRS
The group shall provide a coffin worth 8k
All members must attend burial and come back the same day
Transport will be calculated depending on the destination
Additional sugar 5kg
PARENT
The group shall provide a coffin worth 10k
No suit
All members must attend the burial
SICKNESS
All members are required to have N.H.I.F cards
All members to contribute ksh100 each
RESIGNATION
• Any member desiring to leave the group shall submit his/her resignation letter to the
secretary only if he/she does not have a loan
• Must give a one month notice
• The group shall be up to date in their repayments before such resignation is approved
• To be refunded 90% of his/her savings or any other dividends
RECORD MANAGEMENT
The secretary to take care of:
• Members register
• Minute books
• Group Certificate
Treasurer to take care of;
• Cashbook
• Payment voucher
Chapter eight
RULES AND REGULATIONS
DISCIPLINE OF MEMBERS
• Lateness in attending meeting ksh20.
• Absent with apology ksh30, without apology ksh50
• Meetings are every Saturday at 10:00am
• Mobile phones to be in silent mode and nor receiving call within the meeting perimeter
failure to which will lead to a ksh20 fine
• Excusable reasons to not ne attending meeting shall be sickness, death, job or police case
ACCESING LOANS
Any member may access a loan after thorough assessment and approval by all group members
and acceptance to guarantee the loan
Interest of 15%on every loan acquired
DISPUTE RESOLUTION
This will comprise of the executives (chairperson, treasurer, secretary discipline master and one
member)
• Expulsion
This will be done by the 2/3 of the majority
The committee shall;
Recommend to the members based on what reasons of the expulsion of any member from
the group
• Impose fines on non-compliant members on the following grounds
• Failure to attend group meetings for 3consecutive times without adequate reasons
• A member whose conduct has adversely affected the reputation and dignity of the group
AMMENDMENT
Every article and any clauses on this constitution is subjected to amendment.
DISSOLUTION
The group can only be dissolved if members have finished paying all the outstanding loans and
all members agree to such dissolution.
Assets of the group if any should therefore be shared according to members’ individual
contributions.
