Jamwa asks court to block NSSF report
Oct 28, 2008
THE National Social Security Fund has asked the court to nullify the report on the controversial Temangalo land purchase, issued by the PPDA, the body that oversees public procurement.
By Edward Anyoli
THE National Social Security Fund has asked the court to nullify the report on the controversial Temangalo land purchase, issued by the PPDA, the body that oversees public procurement.
The fund filed the case in the Kampala High Court yesterday.
The fund argued that its activities were governed by its own Act and not PPDA rules.
In a report to Parliament, the watchdog had called for top managers of the fund to be punished over “irregularities†relating to the purchase. It handed the report to Parliament speaker Edward Ssekandi last week.
The procurement body also recommended that finance minister Ezra Suruma disciplines managing director David Jamwa Chandi, corporation secretary Martin Bandebire, investment analyst Paul Gimenyi and the board members.
The controversy follows the purchase of land in Wakiso district in January this year by NSSF from city businessman Amos Nzeyi and Arma Ltd., a company linked to security minister Amama Mbabazi.
The sh11b deal sparked a controversy when Mbabazi and Suruma, who approved the deal, were accused of influence-peddling and conflict of interest. The ministers deny any wrong-doing.
However, Parliament ordered its committee on state enterprises to investigate the allegations.
Parliament is due to debate the committee’s findings.
However, six out of 20 members of the committee disagreed with the main report and are due to submit their own.
The main report, which blames the ministers, bases some of its recommendations on that of the PPDA.
The NSSF also wants the court to declare that the watchdog wrongly investigated the Temangalo transaction, on the basis of a misinterpretation of the PPDA Act.
“The respondent purported to investigate the acquisition of the land on a wrong interpretation of the Act that land is a procurement whereas not,†the fund said.
The NSSF Act, according to the court papers, empowers directors to invest surplus money as they see fit.
To this end, the Fund argued, the managing director is responsible for the management, administration and organisation of the fund.
In his affidavit, Jamwa said: “As the managing director, I am responsible for advising the board of directors on investment that may benefit the funds which the applicant handles.â€
The proposal to purchase the Temangalo land, Jamwa added, was tabled before the finance and investment committee, established by the board of directors to execute its functions under the NSSF Act.
The High Court registrar, Roy Byaruhanga, had by yesterday not allocated the case to a judge to hear it.
THE National Social Security Fund has asked the court to nullify the report on the controversial Temangalo land purchase, issued by the PPDA, the body that oversees public procurement.
The fund filed the case in the Kampala High Court yesterday.
The fund argued that its activities were governed by its own Act and not PPDA rules.
In a report to Parliament, the watchdog had called for top managers of the fund to be punished over “irregularities†relating to the purchase. It handed the report to Parliament speaker Edward Ssekandi last week.
The procurement body also recommended that finance minister Ezra Suruma disciplines managing director David Jamwa Chandi, corporation secretary Martin Bandebire, investment analyst Paul Gimenyi and the board members.
The controversy follows the purchase of land in Wakiso district in January this year by NSSF from city businessman Amos Nzeyi and Arma Ltd., a company linked to security minister Amama Mbabazi.
The sh11b deal sparked a controversy when Mbabazi and Suruma, who approved the deal, were accused of influence-peddling and conflict of interest. The ministers deny any wrong-doing.
However, Parliament ordered its committee on state enterprises to investigate the allegations.
Parliament is due to debate the committee’s findings.
However, six out of 20 members of the committee disagreed with the main report and are due to submit their own.
The main report, which blames the ministers, bases some of its recommendations on that of the PPDA.
The NSSF also wants the court to declare that the watchdog wrongly investigated the Temangalo transaction, on the basis of a misinterpretation of the PPDA Act.
“The respondent purported to investigate the acquisition of the land on a wrong interpretation of the Act that land is a procurement whereas not,†the fund said.
The NSSF Act, according to the court papers, empowers directors to invest surplus money as they see fit.
To this end, the Fund argued, the managing director is responsible for the management, administration and organisation of the fund.
In his affidavit, Jamwa said: “As the managing director, I am responsible for advising the board of directors on investment that may benefit the funds which the applicant handles.â€
The proposal to purchase the Temangalo land, Jamwa added, was tabled before the finance and investment committee, established by the board of directors to execute its functions under the NSSF Act.
The High Court registrar, Roy Byaruhanga, had by yesterday not allocated the case to a judge to hear it.