Members of Parliament have suggested that Bank of Uganda officials resign from their offices for botched sale and closure of defunct commercial banks.
They are; Governor Emmanuel Tumusiine-Mutebile, deputy governor Louis Kasekende, Benedict Ssekabira the Director Financial Markets Coordination, Justine Bagyenda who was the director of commercial banks supervision and Katimbo Mugwanya, a former director at BoU.
The house was on Tuesday debating the COSASE report on the special audit of the closure of commercial banks in Uganda.
This is how plenary went down:
Hon Ssemujju Ibrahim (Kira Municiplaity): There are a lot of crimes committed by Bank of Uganda; I want Parliament to make specific recommendations about those officials. I don’t know why we should spend tax payers’ money when people who caused the financial losses are known.
Hon Mbwatekamwa Gaffa (Kasambya County): I find it very important to fire people like Kasekende, Bagyenda, Mutebile and Ssekabira. The BoU board should also be fired immediately. I find it very important that the shareholders of closed banks should be refunded immediately.
Hon Sarah Opendi, State Minister for Health (General Duties): If we were in a developed country, the bank of Uganda would have resigned, but this is Uganda where corruption seems to be okay. We cannot approve the report when the officials who caused financial loss are still free. I find COSASE report lacking.
Hon Hamson Obua (Ajuri County): Whether we like it or not, the actions of bank of Uganda to these commercial banks were unfair. There is a problem with BoU Board and Management. Managers of commercial banks should not be on the board of Bank of Uganda.
Hon John Baptist Nambeshe (Manjiya County): applauds the Finance Minister, Matia Kasaija whom he says was apologetic for the gaps identified in the management of the financial sector during BoU investigations.
Speaker Rebecca Kadaga says the debate on COSASE report over BoU closure of commercial banks, will spread to two days to allow all MPs participate.
Hon Luttamaguzi Paulson (Nakaseke South County): COSASE had started well, but when it came to recommendations, they started sugar-coating things, I would want to see accountants accountable, I want to see recommendations on specific individuals. I take COSASE recommendations narrow and void.
Muhammad Nsereko [Kampala Central]: Where was the head of security when documents were whisked out, where was the director legal? The only regress we can give these commercial banks is to compensate.
There was irregularity, there were no reports, no inventories, no proper evaluations, the whole process was marred with intimidation of media and shareholders. People like Justine Bagyenda should be individually held liable. The Parliament should take a disciplinary action against the culprits at BOU to act as an example for the future generation. We have approved loans but if the highest financial institution in the country has gone to dogs how shall we repay these loans?
Hon Namukhula Grace (Woman MP Namisindwa District): As Parliament we should take a disciplinary action for people to learn and as an example for the future generation. We have approved loans but if the highest financial institution in the country has gone to dogs how shall we repay these loans?
Hon Ann Maria Nankabirwa (Kyankwanzi District): Our parents owned shares in the Cooperative Bank. This is the time to revive that bank and inject more money into the agriculture sector.
Hon Katoto Hatwib (Katerera County): BoU has failed to perform its main functions which we studied about then in economics. Let gov’t go to BoU and uproot the heads there and then compensate the persons who made losses. Hon Ayoo Tonny (Kwania County): My concern is the age and health of the Governor of BoU. He may be innocent and by taken advantage of because he is very old. He should retire. Actually the whole team at the central bank should be overhauled.
Hon James Waluswaka (Bunyole West): Gov’t should compensate all the owners of those commercial banks including Crane Bank. The whole board of BoU should be held responsible for their actions. All these people must be brought to book.
Hon Stephen Mukitale (Buliisa district) raises a point of procedure on the absence of the sector ministers and the Prime Minister as the House debates the report of the Committee on COSASE on the closure of commercial banks.
Speaker Kadaga rules that the debate is captured on the Hansard and no decision will be taken in the absence of the Prime Minister.
Hon Silas Aogon (Kumi Municipality): Whoever is involved should be taken to courts of law. The Governor and his deputy and all the other leaders at the BOU should be held liable. The owners of Crane Bank should be compensated; they lost a lot of money.
Hon Betty Nambooze (Mukono Municipality): I am told the Governor and Deputy Governor of BoU will retire in 2021 and 2020 respectively. Do we have to wait for that time? Can’t these people step down and say, ‘We have failed’.
Hon Francis Mwijukye [Buhweju County): Where was Bagyenda getting all those powers? She would order banks to take money to her. We are told she had ‘black mambas”. What was the source of those powers?
Hon Gilbert Olanya [Kilak South County): Members may ask the chair of the committee; what went wrong during the compilation and writing of the report? If you were specific during the investigation stage, why did you go general in the final report?