Lwamafa, Obey pinned as pension trial starts
Former Public Service ministry permanent secretary Jimmy Lwamafa (standing) along with former principal accountant Christopher Obey (R) and the former Director Research and Development, Stephen Kunsa (C) at the Anti-Corruption Court in Kampala yesterday. PHOTO BY DOMINIC BUKENYA
KAMPALA- The Shs88b pension case kicked off yesterday at the Anti-Corruption Court with the first prosecution witness implicating three former Public Service Ministry officials, including Jimmy Lwamafa, the former Permanent Secretary in the ministry, in the fraud.
Mr Henry Mutegeki, the principal auditor with the office of Auditor General, in his testimony told court of how the AG’s office received a request from the DPP to carry out a forensic audit into the expenditure and beneficiaries of Shs88b budgeted for as social security contributions by the Public Service ministry.
Core in the witness’ findings before presiding judge Lawrence Gidudu was that the Shs88b in question ended up being paid to ghost pensioners given that this anomaly happened around the same period that the Shs165b was paid to ghost pensioners.
Mr Mutegeki also told court that Mr Lwamafa and Mr Christopher Obey (former principal accountant) were responsible for authorising these same payments.
The witness further told court that Mr Lwamafa in a letter, acknowledged to the then Secretary to the Treasury Chris Kassami an error in the budgeting of Shs44bn in the financial year 2010/11 as NSSF contribution.
However, the witness said he was shocked to establish in his investigations that even in the following financial year of 2011/12, another Shs44b was budgeted as NSSF contribution.
“All in all, my findings were that the Ministry of Public Service irregularly budgeted for NSSF for the two financial years (2010/11, 2011/12) and the Ministry of Finance also extended the money to them..” said the witness, adding: “I conclude that money was misappropriated by the accounting officer, Mr Jimmy Lwamafa, who was responsible for authorising payments and also the principal accountant, Mr Christopher Obey, who was also responsible for authorising the same payments..”
The witness was being guided by senior State Attorney Barbra Kawuma.
In faulting the third suspect, Mr Stephen Kunsa Kiwanuka (former director research and development), the witness said the pension department that he was heading would submit pension budget estimates on “chits” and “sticker” notes and sometimes verbally to the Planning Unit for consolidation into the ministry budget estimates and that this exposed the ministry to a risk of creation of slack within the budget.
The defence team led by the Nsubuga Mubiru, Evans Ochieng, and John Isabirye could not cross-examine the witness last evening as they needed more time to internalise the voluminous evidence presented to them by the prosecution side.
The judge then adjourned the case to next Tuesday.
