President Yoweri Museveni
The Public Accounts Committee is expected to question President Museveni on his role in the loss of about Shs40 billion in taxpayers’ money paid to anonymous company directors in another compensation scandal.
Sources told Daily Monitor that President Museveni called PAC chairman Kassiano Wadri on Sunday and wanted to meet the committee yesterday to discuss Dura Cement compensation scandal and other accountability issues.
However, Mr Wadri reportedly told the President that the committee can only meet him today.
“We are not going to take tea at State House,” Mr Wadri said. “We are going for business. I cannot give you details but what you should take from me is that we are going to discuss issues of national importance.”
Important issues
He added: “When issues of accountability come up, I trust my members they will tell the President the truth.”
Today’s meeting at State House Entebbe is a follow-up to another meeting the President had last week with a group of ruling party members on the committee in which he reportedly asked the legislators to go slow on Dura Cement Ltd.
Information before PAC indicates that Mr Museveni cancelled the contract in a May 7, 2007 letter to the then Energy and Mineral Development Minister Daudi Migereko.
PAC, in its draft report wants Mr Migereko to take political responsibility for the loss incurred and President Museveni pinned.
“The President wants to meet PAC members to discuss issues of Dura Cement Ltd where we lost billions of shillings,” a source said.
“He does not wish to see another minister asked to resign because of corruption. I am also told that he wants to clarify on some things before we take our report to Parliament. We have already discussed and agreed to go to State House tomorrow at 9am,” the source added.
Sources told Daily Monitor that the President wants to defend himself from the accusations that he authorised the payments.
Mr Migereko, who is now in charge of the Lands docket, and other technocrats in the Solicitor General’s office, told PAC that the President had a hand in the loss.
Information before PAC shows that UPDF trading arm and National Enterprises Corporation, signed a mining contract with Dura Cement Limited in 2007 but was cancelled on orders of President Museveni, citing national interest.
The contract was later given to Hima Cement Ltd, which owns a factory at Hima in Kasese District.
“We don’t want the President to say we did not give him the opportunity to be heard,” MP Theodore Ssekikubo said.
When government cancelled the deal, the company first demanded $103 million (about Shs268 billion) before it was reduced to $14.6 million (about Shs40 billion) and eventually paid Shs37.7 billion through unclear circumstances.
The outcome of today’s meeting with the President, will only serve to question the President’s involvement in endless compensation scandals.
In one of the letters tabled before PAC, Prime Minister Amama Mbabazi received a letter from former State Minister for Finance, Mr Mathew Rukikaire, in which they discussed the matter.
The compensation origin
Mr Rukikaire told Mr Mbabazi, who was the State Minister for Defence then, that the raw materials in the area be used to sustain Hima Cement factory.
It was this intervention that led to the cancellation of Dura contract for limestone mining and the deal was awarded to Hima Cement.
Dura sued the government for breach of contract and took away $16 million (about Shs40 billion) in disputed compensation claims.
By Yasiin Mugerwa, Daily Monitor
