Police question top UNRA officials

Vehicles move on the Mukono- Katosi road which is under construction. Photo by Geoffrey Sseruyange

What you need to know:

The police are investigating circumstances under which a company which is distancing itself from dealings with individuals involved in the contract won the tender.

KAMPALA- Police were by yesterday still holding one of the Uganda National Roads Authority top officials in connection with the advance payment of Shs24.7 billion to US firm Eutaw, that was contracted to construct the Shs165bn Mukono-Kyetume-Katosi road.

Detectives from the Special Investigations Division (SID) were still questioning UNRA accountant Wilberforce Senjako, who is helping with investigations into the payment to a company whose credibility is being questioned.

Police last week questioned the head of finance, Mr Joe Semugooma and later released him on bond.
Detectives had earlier Interrogated UNRA Executive Director, Eng Ssebugga Kimeze, and Eng David Luyimbazi, UNRA’s director of planning over their role in the matter.

No details yet
Police spokesman Fred Enanga confirmed the interrogation but declined to divulge details of what they asked the officials saying that would jeopardise the investigations.

“It is true we talked to them. Mr Semugooma and others were released on police bond. But since the case involves many people and we haven’t talked to many of others out there, it will not be wise for us to give you details of the case because evidence will be lost,” Mr Enanga said yesterday.

According to the police, officials from Housing Finance, the bank in which the Shs24.7b was paid, were also interrogated and allegedly submitted bank transactions of Eutaw.
By yesterday, the detectives were still examining the acquired documents.

Earlier, officials from Statewide Insurance Company (SWICO) and UAP insurance company were interrogated over the issuance of bonds that were used to get the Shs24.7b. But UAP insurance claimed they discovered irregularities and cancelled the deal.

Police and the Inspector General of Government are investigating corruption allegations and whether the construction company that won the tender exists.

Eutaw was paid Shs24.7b even before the UNRA officials carried out due diligence, which could have led to financial loss.

The Finance ministry has since blocked the release of more money to the company after reports emerged that government could have signed the deal with a fictitious company purporting to represent Eutaw.

Earlier, the American company had written to government, disassociating itself from some individuals here claiming to be its representatives.

Relatedly, the MPs on the Infrastructure committee heard that Eutaw wants to sub–contract another company to do the work. This, according to UNRA, is not unusual.

THE STANDOFF

Works minister Abraham Byandala, has been in the spotlight for disregarding public procurement procedures by vouching for the American company.
Mr Byandala, however, has countered that this could not have stopped UNRA from carrying out due diligence on the company.

He faults his predecessor, Mr John Nasasira, and minister for the Presidency Frank Tumwebaze, for orchestrating a smear campaign against him.

Both Mr Nasasira and Mr Tumwebaze have since dismissed the accusation, saying Mr Byandala is using them as a scapegoat for his woes.