Opinion: Lt Col Nakalema should swing into action over COSASE report

LUKKA KAGENYI

As we ended 2018, President Museveni created a special anti-corruption unit in State House headed by Lt Col Edith Nakalema.

This unit, as the President clarified to Ugandans during his New Year message, is meant to reinforce the fight against corruption by supplementing other existing organs of government mandated to do similar responsibilities.

The creation of this unit was in line with anti-in zero-tolerance to corruption policy, 2018 which was debated and approved by parliament last year and among other things rooted for the need to strengthen and enforce existing corruption policies.

Museveni has been candid this time. He recently took a swipe at the Inspector General of Government (IGG), Irene Mulyagonja for failing to stamp out corruption and wondered why the public was not reporting corruption cases to her. It should be quickly recalled that Col Edith Nakalema and her team are currently investigating the IGG’s office over gross allegations unethical conduct including but not limited to corruption.

Relatedly, other anti-corruption agencies such as police, judiciary are suffering a tainted image and public confidence in them is at its lowest. They are widely seen as corrupt and thus can’t apprehend the corrupt.

We have been treated to bewildering episodes of judges and magistrates taking bribes to make warped decisions especially on land related matters, traffic police officers taking bribes and investigating officers soliciting bribes from suspects to kill investigations. Churches too are not of so much help! There is a lot of fakery and manipulation to make ends meet by the would be men of God. They can’t boldly peak against corruption.

Is Edith Nakalema the savior?

Credited for being insulated against Influence from the corrupt, Nakalema started work on a high note. Several arrests have been made pending prosecution and number investigations are already underway. The unit so far is credited for being proactive and indeed very swift when they receive credible information regarding stealing of public resources.

But on matters to do with Bank of Uganda, Col Edith Nakalema has where to start from as there are two important well-resourced documents on public record which are; the auditor general’s special audit report on defunct commercial banks 1993-2017 and the subsequent report by parliament’s committee on commissions, statutory authorities and state enterprises (Cosase).

To dwell on the latter, the Katuntu report uncovered rot at BoU which had for long shielded itself from any form and manner of investigation and scrutiny. It had been seated on a big heap of overly deleterious practices which are meant to cost the tax payer billions of shillings should the recommendations of parliament be implemented.

But the BoU officials who were indicted shouldn’t be left to walk scot free for occasioning such losses in billions while small Town clerks and Chief Administrative officers face the wrath of the Nakalema headed unit.

Bank of Uganda without any procedures sold banks including crane bank. The report also notes that BoU did not carry out valuation of the assets and liabilities of CBL BUT relied on the inventory report and due diligence undertaken by DFCU to accept their bid to arrive at the P&A.All this violated the Financial Institutions Act.

Furthermore, it was evident that there was criminal negligence, lack of due diligence, collusion and conflict of interest among others all which Nakalema should look into.

Former Executive director for Supervision, Justine Bagyenda (2004/2017) oversaw most of these controversial  deals.

In cahoots with her, was Benedict Sekabira, Katimbo Mugwanya , Louis Kasekende who is the deputy governor among others.

For instance, the report pointedly notes that, “Records available to the committee indicate that the then Director Commercial Banking – Bank of Uganda, Mr. Ben Ssekabira, who was the agent of the liquidator/ Receiver of the three defunct banks (lCB, Greenland Bank and (Co-operative Bank) was up to the 12th August 2009 the agent of M/s Nile River Acquisition Company.

It is further noted that between 12th and 16th February 2007, Mr. Ben Ssekabira together with Mr. Kakembo Katende of JN Kirkland and Associates travelled to the United States of America to meet the management of M/S Octavian Advisors plc.

This was conflict of interest as the seller was also an agent of the buyer.

Finally, efforts to guard against what happened at BoU will be fruitless if the culprits aren’t apprehended for the people in public service to see and learn a lesson.

The author is a political and social analyst.