Court quashes UNRA report on Dott Services Limited

Justice Stephen Musota

What you need to know:

  • Citing an instance where Dott Services Limited was paid Shs11.5 billion in prolongation costs incurred instead of more than Shs17.7 billion, Justice Musota held that the Commission was not full, fair and impartial in as far as it was based on errors of fact and law having suppressed the explanations by the company.
  • During the period 2010 to 2016, Dott Services implemented contracts which include Tororo- Mbale road, Mbale- Soroti Road, Jinja- Kamuli and Ishaka- Kagamba road.

Kampala. Court has nullified the findings and recommendations of the Commission of Inquiry into the alleged mismanagement and corrupt practices in the Uganda National Roads Authority (UNRA) against Dott Services Limited.
The report by the UNRA Commission of Inquiry had indicted Dott Services Limited for alleged poor planning leading to excessive revision of time and costs and late commencement of road works which delays caused UNRA financial loss.
Led by Justice Catherine Bamugemereire, the Commission reported that Dott Services did not have adequate capacity in terms of numbers and key personnel as well as adequate equipment to effectively execute the contracts.
But Justice Stephen Musota ruled that there is no evidence to prove that Dott Services Limited was responsible for the delays and losses in UNRA.

The judge also ruled that it was an error of fact and law for the commission to condemn Dott Services Limited for the monies paid to it and for the mistakes of the UNRA staff.
“Just because contracts were reviewed and extra payments were made did not mean that there was connivance. The applicants have explained that the contracts anticipated and provided for extra payments in case of delays,” the court ruled.
The judge also ruled: “It is logical that where the scope of works is adjusted, there must be attendant costs in executing the terms of the contract. The applicant companies are business persons who provide their technical services for profit. The UNRA staff ought to have known that any delays in appointment of consultants, contract managers and provide their technical services for profit.”

Court held that although the commission had powers to make appropriate recommendations, it did not mean that they had at all costs to blame the applicants.
“The Commission did not effectively evaluate the documents and had they given the applicants that fair opportunity to explain, the errors would not have occurred,” he ruled.
Justice Musota also faulted the Commission of Inquiry for treating the companies as public officials who had to help the government save money amidst irregularity in the management of UNRA.

Citing an instance where Dott Services Limited was paid Shs11.5 billion in prolongation costs incurred instead of more than Shs17.7 billion, Justice Musota held that the Commission was not full, fair and impartial in as far as it was based on errors of fact and law having suppressed the explanations by the company.
The judge ruled that upon perusal of the Commission’s report, he did not find any evidence of bribery, connivance or collusion.

“All that was before the Commission was mere suspicion and had no hard evidence to show that the applicants (Dott Services) influenced the decision making processes in UNRA.
“What is clear from the report is the fact that UNRA was disorganised administratively and procedures were not followed in the day to day running of their activities. The applicants had to deal with such a client who did not respect PPDA laws and many times did not follow terms of the contract,” he said.
Justice Musota also ruled the recommendations against company were speculative, in error and irrational for failing to effectively explain in fairness all the alleged roles played by the company in the alleged losses.

The court decision resulted from a case in which Dott Services Limited and general Nile Company for Roads and Bridges sued the Attorney General (AG) challenging the findings of the report and to stop the government from enforcing the said findings.
During the period 2010 to 2016, Dott Services implemented contracts which include Tororo- Mbale road, Mbale- Soroti Road, Jinja- Kamuli and Ishaka- Kagamba road.