Ex-Posts chief detained

Mar 20, 2007

THE former Posts and telecommunications managing director, Edward ssempala Mbuga, was yesterday detained by the Police,

THE former Posts and telecommunications managing director, Edward ssempala Mbuga, was yesterday detained by the Police, reports Paul Kiwuuwa.

Mbuga was detained on the orders of the parliamentary committee on commissions, statutory and government enterprises after he denied signing an agreement with Mentor Property Services, a Kenyan firm that caused financial loss of sh1b to the telecommunications company.

Committee chairperson John Odit ordered the CID’s Robert Kasira to take Mbuga for interrogation at the department’s headquarters at 1:45pm.

Mbuga’s defence that the agreement was signed by the company secretary and chief executive officer whom he declined to name, did not save him.
“We are interested in you and not the others because you were the managing director,” Odit said.

Mbuga was summoned earlier to respond to queries raised by the Auditor General in his 1998/9 report.

“Ten years is a long time. I can’t remember who signed the contract. but we advertised the tender where Mentor property services and Shem Bageine, a local company, won the tender,” Mbuga said.

But Tom Butime asked: “How can you remember that Mentor property Services and Shem Bageine companies won the tender and you forget who signed the contract?”

The Auditor General’s report said Mbuga engaged Mentor Property Services in 1998 to manage Uganda Postal building on Speke road and collect rent but the company banked all the proceeds on its account.

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