IGG suspends sh165b Katosi project

Nov 03, 2014

The Inspectorate General of Government (IGG) has suspended the construction of the 74km Mukono-Katosi road over fraud

By Maurice Okore

The Inspectorate General of Government (IGG) has suspended the construction of the 74km Mukono-Katosi road over fraud


The IGG spokesperson Ali Munira, said they have written to Uganda National Roads Authority (UNRA) suspending the project pending investigations into the award process.

"This is therefore to order and direct the Accounting Officer UNRA and the UNRA Procurement and Disposal Unit NOT to entertain any bid by M/s Chongquing International Construction Corporation (CICO) for the works for upgrading Mukono-Kyetume-Katosi/Kisoga-Nyenga Road in the recommended new procurement. It is also hereby ordered that no payments should be made to either CICO or EUTAW in respect of the works until further orders from this office or until conclusion of the IGG investigation," said a statement from the office of the IGG. 

This follows revelations last August that the contract to construst the road was awarded to an American firm Eutaw in breach of procurement guidelines that require conclusion of due diligence about the contracted firm before disbursement of a down payment.

Eutaw, has since had its officials in Mississippi stridently deny ever signing a contract in Uganda, thus raising the spectre of Government losing colossal sums to an intricate criminal cabal.

The deal is a matter of investigations by different arms of government, as Eutaw continues to wash its hands of the matter, including denying its purported representative director in Uganda, Apolo Senkeeto.

The Police’s Special Investigations Division (SID) has since interrogated and recorded statements from several UNRA senior staff in connection to the road scam. Four senior staff, including the acting executive director, Eng. Ssebugga Kimeze have been suspended.

Others suspended include the director for planning, Eng. David Luyimbazi, Joe Ssemugooma, the director for finance and Marvin Baryaruha, the director for legal.

The company claiming to be Eutaw Construction Company from the US won the sh165b road project, which President Yoweri Museveni launched on July 7.

Museveni pledged the road in 1996. Documents show that Richard Pratt and Tim McCoy were presented to UNRA as Eutaw directors.

Michael Oluey was presented as the company secretary, Baka Kasule as the consultant and Apolo Senkeeto as the country representative.

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