Britain freezes aid to Uganda over corruption concerns
Publish Date: Nov 17, 2012
LONDON - Britain
has suspended all aid to the government of Uganda over
new evidence that British taxpayers' money may have been stolen, Development
Secretary Justine Greening said on Friday.
Four European countries including Britain had already suspended some aid to Kampala over a growing scandal involving the theft of $13 million in donor funds meant for the reconstruction of two impoverished regions.
Britain had planned to channel a total of 27 million pounds ($43 million) in aid money through the Ugandan government this financial year. Friday's announcement means Kampala will not receive the remaining 11 million pounds that had been due by the end of March.
"Unless the Government of Uganda can show that UK taxpayers' money is going towards helping the poorest people lift themselves out of poverty, this aid will remain frozen and we will expect repayment and administrative and criminal sanctions," the Department for International Development said in a statement.
Norway, Ireland and Denmark have also suspended aid to Uganda. Britain had already frozen aid specifically to the prime minister's office in August.
The auditor general has implicated officials from the prime minister's office in embezzlement on a grand scale.
The scandal adds to concerns about corruption.
Bigirimana: MPs want answers from Kiwanuka
By MERCY NALUGO
Posted Saturday, November 17 2012 at 02:14
Posted Saturday, November 17 2012 at 02:14
The legislators in a stormy meeting also demanded answers from the Minister of Finance, Ms Maria Kiwanuka on why the Permanent Secretary, Mr Pius Bigirimana, has remained in office despite calls that he steps aside to allow investigations continue.
The MPs noted that Mr Bigirimana’s continued stay in office is a big embarrassment to the country and directed that the minister writes to President Museveni as a matter of urgency to force the PS out of the office.
“As we argue about the theft of funds in the OPM’s office, Bigirimana is in office. We are not saying that he is a thief but he must take administrative responsibility,” said Mr Tim Lwanga (Kyamuswa).
Call to quit
The committee chairperson, Mr Robert Kasule Ssebunya (Kyaddondo North) wondered how the money left government coffers without the authorisation of the accounting officer and why it took him that long to detect the fraud.
“His failure to detect the fraud shows that he cannot handle that office,” he said.
A special audit by the Auditor General found substantial evidence detailing how aid from Ireland, Norway, Sweden and Denmark was transferred to unauthorised accounts in a sophisticated scam which resulted into the theft of at least Shs50b.
The donors have since suspended aid over the scam and demanded that the missing funds be recovered.
Other legislators asked the minister to tell MPs how her officials connived with other public servants in senior offices to abuse tax payers’ money.
But Ms Kiwanuka remained silent on the call for Bigirimana to step aside as investigations continue.
The secretary to the treasury, Mr Chris Kasami also declined to comment on Bigirimana’s fate but later told legislators that they would make their recommendations known to the committee after consultations.
MPs raised concerns to the effect that donors were cutting aid because government had refused to take action on Mr Bigirimana. However, Ms Kiwanuka said: “We are in touch with the donors and they agree that government is committed to cleaning up the entire system. All this dust coming up is because government has been open and transparent and we are in talks to see how we can open up the disbursement channels.”
She said her ministry was giving support to the investigations. “We are working with World Bank, the police, IMF, and other investigators to ensure that all the systems are strengthened. We have also directed Bank of Uganda to seek guidance from the Federal Bank of South Africa which had the same problem to see how it was handled,” she said.
Ms Kiwanuka admitted that the money was being disbursed by the ministry and receipts received but there was no value for money.
State House abetting corruption – Besigye
Dr Besigye at his home in Kampala yesterday. PHOTO BY FAISWAL
http://www.monitor.co.ug/News/National/State-House-abetting-corruption---Besigye/-/688334/1621216/-/wc7hd9z/-/index.html
By Frederic Musisi
Posted Friday, November 16 2012 at 02:00
Posted Friday, November 16 2012 at 02:00
In Summary
As early as 8am yesterday, police had deployed heavily on Gayaza Road
following unsubstantiated reports that an Opposition rally was planned at
Kalerwe Trading Centre.Dr Besigye accused the police of continuously “cooking up information that [he] will be holding a rally, having a demonstration”, so as to justify payment of operational allowances. But Mr Sam Omala, the Kampala Metropolitan North Police operations boss, denied the allegation.
After camping at his home and neighborhoods for close to seven hours, police later allowed the opposition leader to drive to town but under heavy escort.
Dr Kizza Besigye has said he is not surprised that people linked to State House are being implicated in reports of embezzlement of huge sums of public funds.
Addressing journalists at his home in Kampala yesterday, the FDC leader warned that the country was headed into an abyss, never to be rescued, if something immediate is not done.
“That’s what they call a top-down system of corruption that this government is running,” Dr Besigye said. He added that if the Auditor General investigated the huge sums of cash that go through the State House, the nation would be shocked at the findings.
“Why does it have to be President Museveni, the First Lady or the name State House mentioned in any big scandal that involves big monies? It shows the highest level of wastefulness the government is living and corruption has become the system of governance in the country,” Dr Besigye said.
Citing some of corruption cases like the Chogm scam, GAVI funds, OPM fraud, Bassajjabala compensations, all of which have been linked to State House, Dr Besigye declared that, “it cannot be prevented without first fighting the regime”.
Information minister Mary Karooro Okurut declined to respond to Dr Besigye’s remarks when reached for comment. She instead advised the Daily Monitor to contact Presidential Press Secretary Tamale Mirundi, whose known mobile phone contacts were, however, switched off.
Dr Besigye also expressed outrage at the continued deployment of police at his home in Kasangati where the access road to his home is barricaded and all cars proceeding to and from his residence are checked, and all visitors interrogated.
The retired Colonel revealed that he is seeking a court order to bar police from his land, observing that their continued presence infringes upon his constitutional rights.
