Namo scandal: Museveni tells IGG to probe road funds lost to minister’s sons

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Government team visiting Karamoja

It started with alot of money being distributed in Rukiga district NRM elections.

If it wasn’t that single act, a three-year deal costing government Shs46 billion wouldn’t be known to the public today.

On 24th January 2017, Bank of Uganda wired Shs 9 billion on a High Court account after UNRA was compelled to deposit all funds it owed the Chinese.

After a few days, the Judiciary released that money to Welt Machinen Engineering Limited whose signatories are Energy minister Peter Lokeris’s sons, Princess Niwahereza and Andrew Muhwezi.

Media has covered this issue for three months until Cabinet and the Presidency demanded a report.

President Yoweri Museveni has since demanded a report on the matter prompting the Inspector General of Government [IGG], Irene Mulyagonja, to kick off investigations.

The probe team was sent to Karamoja to take fresh measurements to disapprove the over-valuation produced by the chief government valuer’s office that made the government to lose billions of shillings to the fraudsters.

“We can’t rule out possibility of collusion to defraud the government between the Chief Government Valuer’s office Lokeris children,” a member of the probe team said.

The team comprises of officials from the Inspectorate of Government, Surveyors from the Department of Government Surveys, Directorate of Internal Security Organisation and some district officials of Nakapiripirit.

They visited the disputed Kamusalaba rock to establish the beacons which Welt Machinen claimed to have been erected at the contentious rock.

According to the team, no evidence of a beacon was seen on the ground.

Minister’s sons milk another Shs21bn from UNRA

In part four of #NamoScandal, we expose how High Court in Kampala, without even prosecuting a case to its logical conclusion, went ahead and awarded another Shs21bn to Welt Mackinen company owned by sons of Energy minister, Peter Lokeris.

The money is part of the Shs46bn being milked from China Road and Bridge Construction Corporation [CRBC] which was contracted by Uganda National Roads Authority [UNRA] to construct  Nakapiripirit-Moroto district in Karamoja region.

CRBC says Welt Machinen is falsely claiming compensation amounting to Shs 9.15 billion from UNRA for a contentious Kamusalaba rock yet they (CRBC) had signed a memorandum of understanding with Nakapiripirit district administration, giving them ownership of the rock.

On December 20, 2016, CRBC secured a court order halting any payment of money to Welt Machinen Engineering by government until the case is settled.

The order also stated that Unra deposits Shs 21 billion (half of the Shs 42bn total valuation for the rock) with court not later than October 2017 as the main case is being heard.

George Omunyokol, the lawyer for the Chinese firm, told The Observer that they had got wind that Welt Machinen has been pressuring government to release part of the Shs21bn to the company, which contravenes the court order.

The Kamusalaba rock, according to a report by the ministry of Energy and Mineral Development, is valued at Shs 46 billion.

This year, Lokeris’s sons Ben Koryang and Felix Oroma beat a court order and spirited away Shs21bn UNRA cash in bogus payment have emerged.

UNRA first wired Shs9bn to Welt Machinen Engineering Ltd on January 29th to the company account in Cairo International Bank. Another batch of Shs11,676,688,374m was released in July from High Court registrar’s account number 003130058000001, according to Omunyokol, the Chinese firm’s lawyer in a letter dated June 26th, 2017.

The  deputy Attorney General, Mwesigwa Rukutana, agreed with Welt Machinen Engineering Ltd that UNRA pays to the Attorney General UGX 10,505,182,390/= of the money due to CRBC.

The Judgment was to the effect that CRBC renders its account to the Attorney General of how much rock it had used and make payments.

The above figure arose from a valuation of the rock used at Kamusalaba by staff of the Ministry of Energy and Mineral development; John Kennedy Okewiing – Mining Engineer, Gabriel Data – Geologist and Gerald Eneku – Mines Warden.

This valuation was done without the participation and/or involvement of CRBC.

0n the 27th day of March 2017 an Interim Order staying execution was issued but the Respondents; Welt Machinen Engineering Ltd and the Attorney General claimed that the money had already been paid to them.

Kagole Kivumbi, Secretary to the Judiciary later went ahead to swear an affidavit stating that he had already paid out the money which was deposited by UNRA with the Judiciary by the time the application was heard.

Welt Chinen Engineering Ltd opened a new bank account in Cairo International Bank.

The signatories changed from Lokeris’s sons to Ben Koryang and Felix Apo to Felix Apo Oroma, Andrew Muhwezi and Princess Nuwahereza.

“The signatories to the said account shall be Felix Apo Oroma, Andrew Muhwezi and Princess Nuwahereza jointly to sign cheques, effect withdraws and endorse all transactions relating to the account,” a resolution filed on April 9th 2015 reads.

Background information by The Observer

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