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Finance (349)

Report Says Mutebile Recruited Five Staff Without Interviews

Bank of Uganda (BoU) governor, Emmanuel Tumusiime-Mutebile, personally recruited five senior staff without subjecting them to any interviews as required by law, a confidential report of the presidential tripartite committee reveals.

According to the report Dr. Twinemanzi Tumubweinee (Executive Director Supervision), Mr. Valentine Ojangole ( Director Banking), Mr Edward Mugerwa (Director IT Operations Department), Ms. Kande Sabiiti (Procurement Assurance Manager/Director) and Dr. Natamba Bazinzi (Assistant Director Currency Administration in Currency Department) are the staff members Mutebile handpicked and never interviewed.

The findings are as a result of investigation of allegations that Tumusiime-Mutebile recruited and promoted staff on February 7, 2018 without following the central bank’s procedures as well as the Constitution of Uganda. The allegations were made by some of BoU senior staff.

The confidential report was authored in February by the committee appointed by President Yoweri Museveni to investigate the allegations against Tumusiime-Mutebile, following a public spat between him and Justice Irene Mulyagonja, the Inspector General of Government (IGG) who had intervened after former Executive Director of Supervision, Justine Bagyenda, petitioned upon being sacked by Tumusiime-Mutebile without giving any clear reasons as he published a memo on February 7, 2018.

The committee members that authored the report include; Abdu Katuntu (MP) and Chairperson, Lady Justice Irene Mulyagonja Kakooza, Elijah Okupa (MP), Michael Tusiime (MP), David Makumbi (IG Staff), Justus Kareebi (IG Staff) and Sarah Birungi (IG Staff) and committee secretary.

Kasekende Won't Appear Before CID In BoU Currency Saga Interrogation

Bank of Uganda deputy governor Dr Louis Kasekende will not appear before police’s Directorate of Criminal Investigation and Crime Intelligence (CID) to answer related to the ongoing currency printing and transportation saga at the central bank, a report by Eagle Online, reveals.

The online publication quoting unnamed sources says that Kasekende told the investigators led by Assistant Inspector General of Police Grace Akullo that he won’t appear before them for questioning on grounds that he was not involved in the saga.

He also brags that he is above the level of the officials to be questioned as regards the matter. “He has indicated to us that he is not supposed to appear, his juniors who were involved in the saga having appeared,” a source told Eagle Online.

Bank of Uganda (BoU) Governor Prof Emmanuel Tumusiime-Mutebile, who invited State House’s Anti-Corruption Unit (ACU) to investigate an anomaly in the consignment of printed Ugandan currency, is expected to also be questioned.

Last Friday, two BoU officials were charged at Anti-Corruption court sitting at Kololo Kampala, on allegations of inclusion of unauthorized cargo on BoU chartered plane.

Francis Kakeeto, a branch manager at Mbale and Fred Wanyama were charged with abuse of office and in alternative corruption which they have both denied before magistrate Herbert Asiimwe.

Prosecution informed court that on April 26, 2019 between France, Belgium and Entebbe airport, the duo while on assignment by their employer to carry out a pre-shipment inspection of printed materials in France, in abuse of the authority to offices did an arbitrary act prejudicial to the interest of their employer and allowed the inclusion of unauthorised case on a cargo plane fully chartered by BoU.

And in the alternative, it’s alleged that they failed to refute and report the inclusion of unauthorised cargo on a plane fully chartered by BoU.

The development at BoU suggest there are factions within the central bank, one controlled by Kasekende and another controlled by Mutebile. However, Mutebile looks like he has lost direction and hold onto the mantle at BoU because the latest development indicate it is Kasekende in charge of operations of the central bank.

SOURCE: Eagle Online

BOU Officials Charged In Court Over Money Printing

Two officials of Bank of Uganda have been charged with abuse of office and corruption at Anti-Corruption Court

Those that were presented before the Anti-Corruption Court are Francis Kaketo and Fred Vito Wanyama who are facing charges of Abuse of office and corruption as an alternative count allegedly committed on April 26, 2019 between France, Belgium and Entebbe international Airport.

The two being Branch manager and Assistant branch manager respectively and while on assignment by their employer (BoU) to carry out a pre-shipment inspection of printed material in France, allowed inclusion of unauthorized cargo on a chartered plane by BoU.

The duo in the alternative court are said to have failed to refute and report inclusion of unauthorized cargo on a plane chartered by BoU. The charges have been sanctioned by Director of Public Prosecution himself Mike Chibita

Yesterday three more government officials were arrested by CID and other agencies investigating the alleged printing of Shs90 billion even though the governor of Bank of Uganda (BoU) insists no extra money was printed.

The latest arrests come as investigators led by the Uganda police detectives continue to hunt for individuals involved in causing the saga that saw private goods and parcels carried on a chartered plane used by BoU to deliver its consignment in April.

The chartered plane landed at Entebbe International Airport on April 27 and was cleared by Uganda Revenue Authority (URA) customs department in the presence of BoU officials, BoU security, aviation security, police and other security agencies. However, it was reported that instead of the expected 20 pallets, the consignment had 25 pallets.

On Wednesday, the investigators arrested three Bank of Uganda (BoU) officials for of abuse of office and neglect of duty. The officials are Caroline Nankabirwa, from procurement department, Simon Peter Zaribugire from currency department and Milton Opio, director security.

Investigators from the Uganda police say investigation into the Bank of Uganda continue and will soon issue a new statement on the latest developments concerning the currency consignment saga in which a chartered plane delivered five crates alongside 20 pallets of BoU consignment.

“Our officers in partnership with other agencies are still doing the investigations and I promise we will soon issue a statement to clear rumours in the media,” an officer who is part of the team said on condition of anonymity as he is not allowed to talk to the media.

The officer said the investigations spearheaded by CID Director Grace Akullo have expanded countrywide to BoU regional currency centres of Kabale, Mbale and Fort Portal, after leads brought those centres into picture.

The detective explained that heads of BoU currency centres in the three regions are being interrogated on whether they had prior knowledge on the five extra pallets that were transported on the chartered plane, which had on board, newly printed Uganda Shilling notes.

The source said the CID team is also probing how and why the directors were transferred to regional currency centres from the head office in Kampala, prior to the arrival of the BoU consignment.

Available information indicates that the Central Bank sent its officials to pick printed cash overseas and alerted Uganda Revenue Authority (URA) about a consignment that required fast clearance.

Sources indicated that the head of Mbale currency centre who was abruptly called to witness the offloading of BoU consignment became suspicious of the extra pallets and briefed BoU Governor Prof. Emmanuel Tumusiime-Mutebile.

SOURCE: Eagle Online

Bank Of Uganda Regional Currency Centres Probed

Investigations into the extra cargo that was loaded on a Bank of Uganda (BoU) chattered plane have been extended to currency centres in Mbale, Kabale and Fort Portal.

A Senior detective at the Criminal Investigations Department has intimated that after interrogating top BoU officials, the investigating team led by the Criminal Investigations Director Grace Akullo found leads to the three currency Centres.

The detective explained that heads of BoU currency centres in the three regions are being interrogated on whether they had prior knowledge on the five extra pallets that were transported on the chartered plane, which had on board, newly printed Uganda Shilling notes.

The source said the CID team is also probing how and why the directors were transferred to regional currency centres from the head office in Kampala, prior to the arrival of the BoU consignment.

Available information indicates that the Central Bank sent its officials to pick printed cash overseas and alerted Uganda Revenue Authority (URA) about a consignment that required fast clearance.

The chartered plane landed at Entebbe International Airport on April 27 and was cleared by URA customs department in the presence of BoU officials, BoU security, aviation security, police and other security agencies. However, it was reported that instead of the expected 20 pallets, the consignment had 25 pallets.

Sources indicated that the head of Mbale currency centre who was swiftly called to witness the offloading of BoU consignment became suspicious of the extra pallets and briefed BoU Governor Emmanuel Tumusiime.

SOURCE: Daily Monitor via URN

MPs Want Scotland Yard Police To Investigate BoU’s Currency Saga

The controversy  surrounding the alleged illegal extra printing of currency notes amounting to Shs90bn by Bank of Uganda (BoU) officials has left MPs puzzled, with  a section of them (MPs) seeking the intervention of United Kingdom’s Scotland Yard to thoroughly investigate the Central Bank.

Taking to the floor of Parliament Busia Municipality MP, Geoffrey Macho wondered why the Ministry of Finance hasn’t issued Parliament with a statement since news of BoU investigation broke out last week.

Macho said that the Ministry’s reluctance to issue a statement indicates that Government isn’t aware of impact excess currency has on the economy especially causing inflation.

Weighing into the debate, Cecilia Ogwal, the Dokolo Woman MP said that the confusion from Bank of Uganda, Uganda Police and Uganda Media Centre, with the trio giving different statements on the investigation has further thrown the country into information darkness.

“…who is investigating who? The way the matter has reached,  we may need to call Scotland Yard. If we had acted earlier on the COSASE report on closure of commercial banks by Bank of Uganda and caused overhaul of BOU, we would have intercepted this issue. We need a more serious investigation that would cause an overhaul at the Central Bank,” Ogwal said.

In response, State Minister for Planning, David Bahati assured the country that Government is in charge of the Central Bank and the country won’t slip into recession.

“This case was reported to Anti Corruption Unit of State House. It’s true there was an issue to do with air cargo and extra cargo on the plane. We don’t see any indication that this incidence is going to affect economy and inflation. I beg we give investigators time. We can give an interim statement next week. We don’t know whether they were bags or currency,” Bahati said.

Ibrahim Ssemujju,  the Kira Municipality lawmaker questioned the motive behind Central Bank Governor, Emmanuel Tumusiime-Mutebile (in featured photo) calling on State House for help.

“The statement must not address this issue but integrity of Central Bank; whether people aren’t sleeping on the Bank. The governor calling State House, is he sleeping on the job?” Ssemujju said.

Speaker, Rebecca Kadaga asked MPs to be patient and wait for statement from Government and decide what to do next.

“The minister has promised to have interim statement and if not satisfied, we can invite Scotland Yard,” Kadaga said.

SOURCE: Business Focus

3 Officials Re-arrested In Second Nakalema BoU Raid

Security forces have Wednesday June 19 raided Central Bank and re-arrested three top officials in a fresh scandal that rocked the Bank of Uganda since last week.

According to sources, the three officials include Mr. Simon Peter Zaribugire from the currency department, Mr. Milton Opio, the director of Security and Ms. Caroline Nankabirwa from the procurement department.

The officials have been netted on Wednesday evening by police and State House anti-corruption unit.

On Wednesday last week, the State House Anti-Corruption Unit and police arrested several BoU officials in charge of currency, procurement and security and officials from the Customs Department, airport police officers and Civil Aviation Authority (CAA) staff. “Our key point is why and how did it (airline) carry extra cargo and for who?” Lt Col Nakalema said.

On Friday, Lt Col Edith Nakalema issued a statement saying the arrests had been carried out in liaison with CID and BoU to conduct a special investigation on the matter pertaining to the bank’s procurement and supply chain activities.

In a statement on Friday, BoU Governor Emmanuel Tumusiime-Mutebile said he requested the Anti-Corruption Unit of State House to investigate the matter after his staff discovered the anomaly.

A statement by Uganda Revenue Authority has since said that the 5 extra cargo pallets contained other cargo which belonged to various individuals / companies / organizations.

SOURCE: PmlDaily.com

David Mpanga’s Names Surfaces In BoU Currency Saga

David Mpanga is the attorney of UK based KUENE +NAGEL, the airline that was chartered to transport Bank of Uganda currency notes printed in France to Entebbe, online publisher, Eagle Online reveals.

The publication says Mpanga as attorney of the airline blamed Bank of Uganda for the ongoing currency saga because the binding agreement which the central bank signed with the airline stipulates that in case of any breakdown, the latter in not less than 24 hours can get an alternative to do the work.

The counsel who has of recent appeared in BoU scandals and was declared by court as conflicted in the case between Crane Bank Limited, DFCU Bank and BoU made the remarks after government summoned the airline operators and owners to help investigators understand how unexpected cargo came on board with printed currency on a government-chartered plane.

The plane departed from Liege Airport in France and landed at Entebbe International Airport in the morning of April 27. Investigators are investigating alleged printing of unauthorized extra currency of Shs90 billion in Germany by some BoU officials.

On Wednesday, ACU and police arrested several BoU officials in charge of currency, procurement and security and officials from the Customs Department, airport police officers and Civil Aviation Authority (CAA) staff.

Lt Col Edith Nakalema, the head of the State House Anti-Corruption Unit, said that the investigation seeks to find out why the UK airline ended up carrying private cargo of different individuals and agencies. Nakalema said investigators want to establish who cleared the cargo as it arrived at Entebbe.

BoU Currency Saga: Uganda Could Lose Investors

Uganda's leading opposition political party Forum for Democratic Change (FDC) believes the mismanagement and controversies at Bank of Uganda could drive investors away and leave the country in an economic limbo.

Police Monday said together with State House Anti-Corruption Unit are investigating Bank of Uganda regarding their procurement procedures of the country’s currency notes including reported printing of unauthorized excess money.

Police spokesperson Fred Enanga confirmed that they have recorded statements from Bank of Uganda officials and they are investigating deeper into the irregularities concerning a consignment of money that were printed in Europe and the related supply related supply chain.

Responding to escalating saga, the FDC deputy secretary general, Harold Kaija, said the saga emerging at the central bank is not surprising. He reasons that there is no serious investor who would bring his money to Uganda because they will have the fear of being defrauded.

"Chartering a plane is like hiring a special hire. How do you hire a special hire taxi and you sit with people you don’t know? These guys are thugs. Ugandans should come up and show an exit. No serious investor after this scandal can bring his money into this country. No one," Kaija said.

Similarly, Josephine Mayanja Nkangi, the communications officer to former Prime Minister Amama Mbabazi, blamed the currency saga at the central bank on poor leadership.

‘I was amused when I heard the story. Ideally, we should have heard the install story from BOU, but it came in reverse. When it comes to situations like this, you have to think about what the story is and who you want to tell it to. For this story, none of this happened. The story was issued under pressure,” she said on Tuesday morning.

”They failed to get together and agree on what is going to be said and who would communicate it, at this point, the story becomes more mysterious. At this point, the story is broken, you’ve said a lot of things the wrong way. The only answered question was, some cargo came on a plane that wasn’t supposed to come, the question is, what is it?” She added.

MPs Want Mutebile, Kasekende Powers Trimmed

Following delays to implement recommendations and reforms as endorsed by a report by parliaments Committee on Commissions Statutory Authorities and State Enterprises (COSASE), two Members of Parliament (MPs) are drafting a bill to see that the powers of Bank of Uganda governor and his deputy are downsized.

MPs Michael Mawanda of Igara East and Paul Mwiru of Jinja Municipality East are drafting a private members Bank of Uganda Amendment Bill that, according to a report by NTV, seeks to amend the constitution and financial institutions act 2004 to separate the office of governor and his deputy from that of chairperson and vice chairperson of the board.

Mawanda told NTV that the executive to which governor Emmanuel Tumusiime Mutebile and his deputy Louis Kasekende belong implements what the board says – this he meant that it is a conflict of interest.

“Now if you are the chief executive, you cannot again be the chairperson of the board to implement what you have already decided on in the board. We would like to see the board of the bank (Bank of Uganda) independent and management independent” Mawanda told the television station.

The bill also seeks to empower parliament to carry out an oversight role over bank of Uganda just like other government agencies. “We thought that that by giving autonomy to the bank, we would achieve some degree of independence but we have not achieved that,” Mwiru stated.

Mawanda and Mwiru say the failure by government to act on the report of the COSASE on seven defunct commercial banks prompted their move.

Currency Printing Saga: Police Confirms Investigating Bank Of Uganda

Uganda police has said they investigated Bank of Uganda for suspected wrongdoing in the ongoing central bank’s currency printing saga.  Police spokesperson Fred Enanga told journalists that they are assisting State House Anti-Corruption Unit to investigate they matter.

Enanga said they have recorded statements from Bank of Uganda officials and they investigate deeper into the irregularities concerning a consignment of money that were printed in Europe and the related supply related supply chain.

Enanga said the Directorate of Criminal Investigation will continue to work with Statehouse Anti Corruption Unit and that the process will be supervised by the Director of the directorate Akullo Grace.

“They are continuing with the line of questioning on how the banking process supported the printing of the bank notes and whether there were any wrong doing on the side of the bank,” Enanga stated.

He revealed that Bank of Uganda director banking, director legal and some auditors have been questioned. Also questioned are officials from Uganda Revenue Authority, ENHAS, lawyers of the UN and selected business persons mentioned in the saga.

Bank of Uganda in hot soup when a plane their contractor hired to transport currency notes to Entebbe also carried items that were unauthorized. Many people believed that extra cargo contained Ugandan genuine bank notes totaling Shs90bn printed with authority and illegally.

When Governor Emmanuel Mutebile received the complaint he raised Statehouse to investigate the matter and now police has picked interest.

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