mmnjug™ Profile picture
23 Feb, 28 tweets, 6 min read
In its prime, @TuskysOfficial was quite the East African retail behemoth. - @NationAfrica
The retailer, which is now on its deathbed after suffering uncontrolled financial hemorrhage, had eyes and ears everywhere. It used the intelligence gathered to grow into East Africa’s biggest supermarket chain.
When it was second only to Nakumatt in size and revenue, @TuskysOfficial hired spies to gather intelligence on its rival, and was willing to splash the cash to become the bigger of the two elephants.
The spies were stationed both in its own stores and at Nakumatt. Each spy got Sh42,000 monthly to gather intelligence, according to numerous documents reviewed by the Nation.Africa
The undercover agents stationed at @Nakumatt were to find out what secrets the blue elephant was using to stay atop the food chain. The ones stationed in Tuskys’ stores were to help stop internal leaks such as shoplifting and theft by employees.
Initially, Tuskys had hired Hipora Business Solutions to curb the internal leaks. It later engaged Syndicate Agencies Limited for the same service.
This was in addition to other measures that, on paper at least, made Tuskys management more than just the proverbial big brother watching from all angles.
The contract Syndicate signed with Tuskys, and which is now part of a court bundle in an insolvency suit against the retailer, states that a separate group of agents were hired to spy on colleagues and shoppers to make sure that nobody was taking a five-finger discount.
Each of these “loss control agents” was paid Sh35,500 per month.
Syndicate also put up CCTV cameras within Tuskys, complete with personnel to watch the feeds all day, and hired other individuals to cross check stock with invoices and purchase orders.
Yet another set of workers would check staffers’ pockets and bags as they walked into work and left for the day. These were the double checkers.
There were also the front-end controllers, whose work was to simply watch the cashiers and make sure that all items purchased were being scanned and billed.
Finally, there was a group of supervisors to oversee all the spies, double checkers and camera control room watchers.
But even with the huge spend on intelligence, Tuskys was still losing more than Sh100M per month to shoplifters. This translated to more than Sh1.2B a year.
In 2015, two years before Tuskys engaged Syndicate and when it was still utilising the services of Hipora Business Solutions, the retailer fired 107 workers for running a shoplifting scheme.
The rogue workers would collude with outsiders to steal from the shelves. In some cases, cashiers would bill customers in full but record lower prices in the system, then pocket the difference.
Some would keep customers’ receipts and then cancel the sale and take the cash from the register, then fake refunds to the shoppers.
The security operations, which were seemingly tight only on paper, have been laid bare in documents filed by Syndicate Agencies Limited, which is among at least 30 creditors currently in court looking to have the struggling retailer put out of its misery through liquidation.
Syndicate Agencies is looking to have @TuskysOfficial wound up for failing to pay Sh30.8M that accrued between November 10, 2017 when the petition was filed, and May 31, 2020 when the two firms fell out over non-payment of dues.
On August 12, 2020, Syndicate Agencies filed the insolvency petition. And 12 days later, @HotpointKenya filed a second insolvency suit against Tuskys.
The electronics firm says in court papers that it has had a business relationship with Tuskys since 2001, and has been supplying electronics to the retailer on credit.
For the first 15 years of the relationship, things were rosy as Tuskys paid up within agreeable timelines.
.@HotpointKenya would give Tuskys coolers, refrigerators, cookers, water dispensers, microwave ovens and television sets. The electronics would be sold to shoppers and pay Hotpoint the agreed sale price.
But since June 3 2016, Tuskys has been taking electronics from Hotpoint without remitting the sale proceeds. As at August 24 2020, when the insolvency petition was filed, Tuskys owed Hotpoint Sh248M for electronics sold but cash not remitted.
On September 30, 2020 High Court Judge Francis Tuiyott presided over a mention of the two insolvency petitions. At the time, only 13 creditors had sought to join the case to support the retailer’s liquidation.
Tuskys’ lawyers Ogola & Mujera Advocates took to the floor and gave hope to creditors that they would get paid soon.
@TuskysOfficial CEO Dan Githua has not returned any of our calls to his known mobile phone number in the past five months. He also has not replied to text messages sent to the same phone number.
How @TuskysOfficial contracted spies to watch on their staff and customers to avoid theft and shoplifting without success and the employees theft syndicate and the debt crisis that has suppliers in court to dissolve the retailer

• • •

Missing some Tweet in this thread? You can try to force a refresh

Keep Current with mmnjug™

mmnjug™ Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!


Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @mmnjug

23 Feb
Executives of telecoms company @AIRTEL_KE have launched a fight against contempt of court charges which put them at risk of fines or jail terms after the mobile operator was sucked into a dispute between the State and betting firm, @SportPesa - @BD_Africa
The mobile operator is seeking protection against a contempt suit filed by the betting firm which has accused it of failing to unblock gaming pay bill accounts and short codes used by its partner Milestones Games Limited despite a court order to do so.
The dispute kicked off last year after the State-run Betting Control and Licensing Board stopped Milestone from operating under the popular @SportPesa gaming brand, saying the trade name had been appropriated from its rightful owner Pevans East Africa Limited.
Read 13 tweets
22 Feb
MPs committed to enact a law that will compel @CBKKenya to regulate monthly interest rates charged by digital mobile lenders and borrowers’ non-performing loans in honour of fallen Bonchari MP Oroo Oyioka. - @BD_Africa
MPs eulogised Mr Oyioka and the late Garissa Senator Yusuf Haji as devoted legislators who passionately articulated issues of concern without fear. Both Mr Oyioka and Senator Haji died on Monday. Mr Haji chaired the #BBINonsense prior to his death.
Mr Oyioka had sponsored the Central Bank of Kenya (Amendment) Bill, 2020 that is before Parliament for debate.
Read 10 tweets
22 Feb
It is often said that the greatest wealth and the strength of any nation lies in its youth. This means that the youth not only shape the trajectory of a nation’s economy, they are also central to achievement of the United Nations’ SDGs. - Kasimu @SafaricomPLC HR
Data from the World Bank indicates that Kenya has the highest rate of youth unemployment in East Africa – with 17% of all young people eligible for work lacking jobs.
If we are to secure the future of the country, there is an urgent need to address the risk that the current acute unemployment situation presents.
Read 26 tweets
22 Feb
Kenya will take new loans to repay the Eurobond when they fall due as part of its debt management strategy to reduce pressure on principal repayments. - @NationAfrica
.@KeTreasury has a solid plan to deal with Eurobond loans, which started maturing last year, all the way to 2024.
This means that Kenya will be back in the international markets soon, seeking new loans to repay the old ones, in what will see the loan refinanced in perpetuity, with the taxpayer only paying the interest.
Read 14 tweets
22 Feb
Conservationists have raised the alarm over the electrocution of giraffes and raptors at the Soysambu Conservancy in Nakuru County. - @NationAfrica
In two years, at least 11 giraffes and dozens of birds of prey have been electrocuted at the conservancy by sagging @KenyaPower cables.
Ms Kerry Outram, conservationist within the conservancy, on Sunday said giraffes and birds have been dying from electrocution since 2019 when the power lines were installed.
Read 10 tweets
22 Feb
Flora Mutahi is not your everyday captain of industry. She is the Chief Executive Officer and founder of @melvinsteas, one of the first companies in the region to venture into the flavoured tea industry. - @MaudhuiHouse
The accountant by training says that growing up, everyone thought she should pursue the highly regarded professions such as a doctor or a nurse.
In the ’90s, she says, venturing into business was seen as a path for people who were simply incapable of pursuing other lucrative careers. Mutahi’s interest in business would later see her pursue an executive MBA from the University of Cape Town, South Africa.
Read 10 tweets

Did Thread Reader help you today?

Support us! We are indie developers!

This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Too expensive? Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal Become our Patreon

Thank you for your support!

Follow Us on Twitter!