The Public Procurement and Disposal of Public Assets Authority (PPDA) has suspended three companies from participating in public procurement and disposal proceedings after finding them in breach of the ethical code of conduct for providers.
The suspensions, contained in Circular No. 3 of 2026 issued on June 23, follow a decision by the PPDA Board of Directors during its meeting held on June 18.
According to the circular signed by Executive Director Benson Turamye, the affected firms are Okavango Logistics Limited, Dita Limited and Uptown Incorporation Limited.
“In accordance with Section 128(a) of the PPDA Act, Cap 205, the Board of Directors of the Authority at its meeting held on 18th June 2026 suspended the following providers for breach of the ethical code of conduct for providers,” the circular states.
Okavango Logistics Limited was suspended for one year over what PPDA described as substantial failure to perform contractual obligations.
The authority said the company failed to supply materials for the rehabilitation of two passenger coaches at Nalukolongo Workshop under a contract with Uganda Railways Corporation.
Dita Limited received the heaviest sanction, a three-year suspension from public procurement activities.
PPDA said the company committed a substantial failure to perform contractual obligations after allegedly abandoning works it had been contracted to undertake for Otuke District Local Government.
Uptown Incorporation Limited was suspended for two years for allegedly submitting false documentation during a procurement process.
According to PPDA, the company was found culpable of “uttering a false document” after it submitted an unauthentic supplier/distributor authorisation in its bid to the Uganda Revenue Authority.
The procurement regulator warned accounting officers in both central and local government entities that the sanctions extend beyond the named firms and may also affect successor entities linked to the suspended providers.
PPDA further reminded procuring and disposing entities that the suspended companies cannot be awarded new contracts, issued solicitation documents or engaged in procurement-related dealings during the suspension period, except in matters relating to contracts awarded before the sanctions took effect.
“The above suspension applies to any successor in interest, which includes any entity that is substantially similar to a suspended entity or which employs or is associated with any partner, member, officer, director, responsible managing officer or responsible managing employee of a suspended business entity,” the circular states.
The authority noted that suspension does not absolve the affected firms from obligations under existing contracts, and they may apply for reinstatement upon expiry of their suspension periods.
PPDA said information on suspended providers remains publicly available on its website and urged all government entities to comply with the restrictions.
The authority reiterated that suspension is a legal tool aimed at protecting integrity in public procurement, ensuring accountability, and preventing fraud and poor performance in government contracting.
