Union officials embezzle sh400m
Nov 05, 2002
Officials of the Uganda Public Employees Union robbed it of nearly sh400m and then turned around to loan the money as advances to keep the union alive
By Okello Jabweli
Officials of the Uganda Public Employees Union robbed it of nearly sh400m and then turned around to loan the money as advances to keep the union alive.
According to an audit report released recently, the officials misappropriated sh352,810,173 from January 1998 to August 2001.
The figure covers payments that are either unacceptable, without supporting documents or without vouchers. The bulk of the money came from external donors including the International Labour Organisation.
The audit report by Mungereza and Company Certified Public Accountants, says Laro Wod Ofwono, chairman, Robert Matukhu the general secretary, Peter Werikhe, assistant general secretary and Sam Waiswa Kapasa, the deputy national treasurer, colluded to defraud the union.
Gender, labour and social development minister Zoe Bakoko Bakoru commissioned the probe last year following a petition by some union members.
UPEU is made up of trade unions of various government institutions. The union, operating from the National Water and Sewerage corporation (NWSC) premises, is governed by the Trade Union Decree No.20 of 1976 and its constitution as amended in 1999.
The report said most payment vouchers were not authorised, checked or signed by payees. Others did not have supporting documents. It also said sh22.5m transferred from the NWSC branch to UPEU could not be traced and that a number of cheques meant for the union headquarters were diverted to its Nile Bank account by Matukhu.
The probe team found no copy or terms for a sh12m loan allegedly obtained from the NWSC.
The auditors also discovered claims of sh4.8m by Matukhu as advances he had lent the union. The report said Matukhu could not explain what the money was meant for.
The claims included sh2.9m Matukhu said he spent on a workshop at Flight Motel, Entebbe.
In another transaction, Ofwono, Matukhu and Werikhe used union funds to purchase vehicles for their personal use from NWSC.
“Discussion with the general secretary indicated that the money he claims to have advanced the union was meant for buying himself a car,†the report said.
Officials of the Uganda Public Employees Union robbed it of nearly sh400m and then turned around to loan the money as advances to keep the union alive.
According to an audit report released recently, the officials misappropriated sh352,810,173 from January 1998 to August 2001.
The figure covers payments that are either unacceptable, without supporting documents or without vouchers. The bulk of the money came from external donors including the International Labour Organisation.
The audit report by Mungereza and Company Certified Public Accountants, says Laro Wod Ofwono, chairman, Robert Matukhu the general secretary, Peter Werikhe, assistant general secretary and Sam Waiswa Kapasa, the deputy national treasurer, colluded to defraud the union.
Gender, labour and social development minister Zoe Bakoko Bakoru commissioned the probe last year following a petition by some union members.
UPEU is made up of trade unions of various government institutions. The union, operating from the National Water and Sewerage corporation (NWSC) premises, is governed by the Trade Union Decree No.20 of 1976 and its constitution as amended in 1999.
The report said most payment vouchers were not authorised, checked or signed by payees. Others did not have supporting documents. It also said sh22.5m transferred from the NWSC branch to UPEU could not be traced and that a number of cheques meant for the union headquarters were diverted to its Nile Bank account by Matukhu.
The probe team found no copy or terms for a sh12m loan allegedly obtained from the NWSC.
The auditors also discovered claims of sh4.8m by Matukhu as advances he had lent the union. The report said Matukhu could not explain what the money was meant for.
The claims included sh2.9m Matukhu said he spent on a workshop at Flight Motel, Entebbe.
In another transaction, Ofwono, Matukhu and Werikhe used union funds to purchase vehicles for their personal use from NWSC.
“Discussion with the general secretary indicated that the money he claims to have advanced the union was meant for buying himself a car,†the report said.