Ex-UNRA director defends self in Shs24b Katosi scam

Ssemugooma blamed his juniors comprising of accountants and the chief accountant in the same directorate for failure to verify the bank guarantee documents and securities presented by Eutaw Construction Company.

What you need to know:

  • He was making his defence submissions against criminal charges of abuse of office, causing financial loss to government and neglect of duty.
  • Sh24.7b was paid to Eutaw Construction Company as advance payment for upgrading the 74km Mukono-Katosi road from gravel to bitumen standard.

Former director of Finance and Administration at Uganda National Roads Authority (UNRA) has denied playing any role in the Katotsi road project scam where government lost Shs24.7 billion to a dubious contractor who later disappeared without trace.

Joe Ssemugooma on Monday told the Anti-Corruption Court at Kololo that he did not play any role in the processes that led to payment of the money to road construction firm Eutaw Construction Company.

He submitted that he was bypassed in the process to approve the payment because his directorate of Finance and Administration was not considered among the technical directorates during his tenure at UNRA.

“Approval of payment was a preserve of the accounting officer who was the Acting Executive Director, Eng Berunado Ssebbugga Kimeze, on advice of the director of internal audit. I did not cause payment because payment was triggered upon signing of the contract,” Ssemugooma told court.

He was making his defence submissions against criminal charges of abuse of office, causing financial loss to government and neglect of duty.

Ssemugooma and Kimeze are jointly charged with former Works Minister Abraham Byandala who was dropped from cabinet in March 2015.

Other co-accused are: Apolo Senkeeto alias Mark Kalyesubula who was the country representative of Eutaw Construction Company, which is accused of fleecing UNRA of Shs24.7 billion in the collapsed Katosi road contract.

Eng Kimeze, Eng Byandala and Senkeeto have since submitted their defence.
Other suspects include former regional accountant Wilberforce Senjakko and Isaac Mugote (former staff of Housing Finance Bank).

Ssemugooma blamed his juniors comprising of accountants and the chief accountant in the same directorate for failure to verify the bank guarantee documents and securities presented by Eutaw Construction Company.
He amused the court when he denied parts of the statement he signed at police saying he was forced.

Meanwhile, the trial judge Lawrence Gidudu has extended the hearing of Ssemugooma's defence submissions to March 13 for cross-examination by the prosecution.

Particulars of offences

It's alleged that Eng Byandala abused his office as Works minister on November 14, 2013 when he wrote directing immediate signing of the contract between UNRA and Eutaw yet the company lacked capacity to carry out the road works.

The IGG who is prosecuting the case further states that Eng Byandala on August 27, 2014 again abused his office by ordering the continuation of the works on the Katosi road by Chongqing International Construction Company yet the ombudsman's office suspended the works. Byandala's act, the IGG says, amounted to disobeying lawful orders.

The IGG alleges that Eng Kimeze committed abuse of office when he signed a contract with Eutaw without establishing that there was a valid performance guarantee and proceeded to cause transfer of the Shs24 billion to Eutaw to UNRA's detriment.

Eng Kimeze and Semugooma are jointly charged with causing financial loss to government by approving payment of the Shs24 billion to Eutaw despite glaring defects in the Due-Diligence report which had advised against the company.

Utility:
Sh24.7b was paid to Eutaw Construction Company as advance payment for upgrading the 74km Mukono-Katosi road from gravel to bitumen standard.