KASESE LC5 chairman, Yohasi Bihande and the Chief Administrative Officer (CAO), Eseri Ngene, have said the district is in a financial crisis.
By John Nzinjah and John Thawite
KASESE LC5 chairman, Yohasi Bihande and the Chief Administrative Officer (CAO), Eseri Ngene, have said the district is in a financial crisis.
This was revealed on Wednesday during a council session convened to elect the district Speaker at Rukoki, the district headquarters.
“We are in a financial crisis,†Bihande said.
He said the situation was caused by members who involve politics in graduated tax collection.
Bihande said the district collected only sh196m out of an estimated sh700m last financial year.
Ngene said the district risked being sued by its creditors.
“The district is heavily indebted and some suppliers have threatened to sue us,†he said.
He said the creditors included Computer Services Ltd. which it owes sh30m, motorcycles suppliers, sh12m and stationery suppliers, sh11m.
Ngene blamed the low revenue collection partly on some local councilors who mobilised tax defaulters to beat up parish chiefs.
He singled out an incident in Kyabarungira and Busongora North constituencies where the residents beat up a sub-county chief.
Councillors recently attacked the CAO accusing him of poor financial administration which they claim led to non-payment of their allowances.
“We shall sue the CAO for not paying our allowances,†one councillor said.
Several councillors have expressed fear that they may not get their allowances and salaries because they were unsure of being re-elected in the forth-coming local council elections.
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