KCC cheques missing
Jul 22, 2010
SOME of the cheques used to withdraw unauthorised funds from the Kampala City Council (KCC) account at a city bank were misplaced by the Police, a Parliament committee heard yesterday.
By Joyce Namutebi
SOME of the cheques used to withdraw unauthorised funds from the Kampala City Council (KCC) account at a city bank were misplaced by the Police, a Parliament committee heard yesterday.
An official of Stanbic Bank, Gertrude Wamala Karugaba, said: “We handed over some of the waste cheques for investigations, but the Police have said they misplaced them,†Karugaba said when the local government accounts committee that is the investigating the mismanagement of funds in KCC, demanded them.
KCC lost a total of sh3.6b, out of which sh2.3b was unauthorised payment from the teachers’ account at Stanbic Bank, according to the director of finance, Baka Musujja.
The money was in respect of teachers’ Pay as You Earn. It was withdrawn in cash installments of sh150m, sh160m, sh704m, sh614m, sh58m and sh40m and other smaller installments under questionable circumstances in two months, according to a report by the Auditor General.
Karugaba and Musujja were part of the several people who appeared before the committee to respond to queries raised by the Auditor General and the committee.
The committee particularly zeroed on a cash withdrawal of sh704m from the account.
Karugaba said sh900m was paid by the bank to KCC after they made a claim that unauthorised money had been withdrawn from their account. She said the bank also paid sh70m to KCC lawyers.
However, the committee chairman, Abdu Katuntu, wanted to know how the figure of sh900m was arrived at.
“Why didn’t you recover the whole unauthorised amount?†he asked the KCC officials.
SOME of the cheques used to withdraw unauthorised funds from the Kampala City Council (KCC) account at a city bank were misplaced by the Police, a Parliament committee heard yesterday.
An official of Stanbic Bank, Gertrude Wamala Karugaba, said: “We handed over some of the waste cheques for investigations, but the Police have said they misplaced them,†Karugaba said when the local government accounts committee that is the investigating the mismanagement of funds in KCC, demanded them.
KCC lost a total of sh3.6b, out of which sh2.3b was unauthorised payment from the teachers’ account at Stanbic Bank, according to the director of finance, Baka Musujja.
The money was in respect of teachers’ Pay as You Earn. It was withdrawn in cash installments of sh150m, sh160m, sh704m, sh614m, sh58m and sh40m and other smaller installments under questionable circumstances in two months, according to a report by the Auditor General.
Karugaba and Musujja were part of the several people who appeared before the committee to respond to queries raised by the Auditor General and the committee.
The committee particularly zeroed on a cash withdrawal of sh704m from the account.
Karugaba said sh900m was paid by the bank to KCC after they made a claim that unauthorised money had been withdrawn from their account. She said the bank also paid sh70m to KCC lawyers.
However, the committee chairman, Abdu Katuntu, wanted to know how the figure of sh900m was arrived at.
“Why didn’t you recover the whole unauthorised amount?†he asked the KCC officials.