The Permanent Secretary in the Ministry of Trade, Industry, and Cooperatives, Geraldine Ssali Busuulwa has been sent on remand to Luzira prison on charges of conspiring with five others to defraud the government of billions of shillings.
The others are Igara East MP, Michael Mawanda, Elgon County MP, Mudimi Wamakuyu, and their Busiki County counterpart, Paul Akamba.
The group is jointly charged with Leonard Kavundira, the Principal Cooperative Officer in the Ministry of Trade, and City lawyer, Julius Kirya Taitankoko.
On Friday, they appeared before the Court presided over by Chief Magistrate, Joan Aciro where they were charged afresh on an amended charge sheet.
Geraldine Ssali appeared before the same court where charges were read to her.
She was arrested on Friday and presented to the court but the charges were not read to her pending the amendment of the charge sheet.
When the court resumed, it allowed the Prosecution to tender an amended charge sheet.
The accused persons were then asked to face trial in the High Court because the magistrate said her court had no jurisdiction to try them.
The Court heard that Michael Mawanda, Wamakuyu Mudimi, Paul Akamba, Kirya, Kavundira, and Geraldine Ssali conspired to defraud 3.4 billion shillings that were meant for compensation of Buyaka Growers Cooperatives Society Limited based in Bulambuli District.
The crimes were allegedly committed between 2019 and 2023.
The prosecution alleges that Michael Mawanda in October 2021, in Kampala diverted public funds amounting to 1.5 billion shillings for purposes unrelated to the intended resources.
Wamakuyu Mudimi and Paul Akamba allegedly diverted 2.3 billion Shillings and 200 million shillings respectively for their benefit. Julius Kirya Taitankoko allegedly diverted 3.5 billion shillings.
The prosecution further alleges that Julius Kirya Taitankoko received the money in the DFCU Bank account of Kirya and Company Advocates from the Ministry of Trade.
It is further alleged that Julius Kirya Taitankoko transferred money amounting to 911,825, 00 to Rajnish Jain on account number 3200370870 held at Centenary Bank knowing such money to be proceeds of crime.
He reportedly transferred the money to assist Wamakuyu Mudimi who was involved in the conspiracy to defraud 3.4 billion shillings, which generated the proceeds to evade legal consequences of his action.
The Prosecution states that Leonard Kavundira during the financial year 2021/2022 and 2022/2023, abused the authority of his office when he influenced and coerced the Chairperson of Buyaka Growers Cooperatives Society Limited to abandon their duly appointed Advocates of Angura and Company Advocates and Mungoma and Wakhakha and Company Advocates in favor of Kirya and Co Advocates.
The prosecution further alleges that during the financial year 2021/2022 while employed as the Permanent Secretary and assigned the role of Accounting Officer of the Ministry of Trade, Industry, and Cooperatives, Geraldine Ssali abused her authority by doing an arbitrary act prejudicial to her employer.
According to the State, that was done when she irregularly introduced Buyaka Growers Cooperatives Society Limited among the cooperatives to be compensated for the war loss by the government of Uganda.
It is alleged that Buyaka Growers Cooperatives Society was not listed on the request for the supplementary budget dated August 2021.
Geraldine Ssali is also accused of causing the financial loss of 3.8 billion shillings by making irregular payments to Kirya and Company Advocates meant for Buyaka Growers Cooperatives Society Limited.
Ssali’s action was according to the prosecution, in contravention of the Treasure instructions of 2017 knowing or having reason to believe that such an act would cause financial loss to the government of Uganda.
The DPP states that Ssali wrote to the Secretary of the Treasury Ministry of Finance requesting a supplementary budget of 54 billion shillings that included 10 billion shillings for cooperatives.
Evidence shows that 2.3 billion shillings was for Masaka, Teso 1 billion shillings, Nyakatonzi 1.06 billion shillings, North Bukedi 1.2 billion shillings , Bunyoro, 1.5 billion shillings, Lango 723 million shillings, Kigezi 1 billion shillings and Central West Nile 1.16 billion shillings.
The evidence shows that Ssali wrote a follow-up letter and submitted a list of the cooperatives to benefit and among those listed were Masaka Cooperative Union, Jinja Multipurpose Cooperatives Society, Lango Cooperative Union , North Cooperative Union, Buyaka Growers Cooperatives Society Limited and Bumwambu Cooperative Society.
It is stated that Buyaka Cooperative Society was not part of the list initially listed for payment. The records show that Buyaka was then listed to get 1.5 billion shillings.
Consequently, on October 21st, 2021, the Minister for Finance wrote to the Speaker submitting expenditure schedules for the financial year 2021 /2022 which included 8 billion shillings to the Trade Ministry for war loss compensation.
The evidence further indicates that Parliament approved the said supplementary expenditure of 8 billion shillings and recommended an appropriation of 17.5 billion shillings to the Trade Ministry for compensation of various cooperatives without any basis or justification.
The cooperatives intended to benefit from the approved 17.5 billion shillings did not include Buyaka Growers Cooperatives Society Limited, and as a result, various payments belonging to Buyaka were paid to Kirya and Company Advocates who later made irregular payments to Akamba, Wamakuyu, and Mawanda.
Further evidence, shows that investigations later commenced as ordered by Parliament and it was established that 3.8 billion shillings was paid to an account held in DFCU in the name of Kirya and Company Advocates by the Trade Ministry between October 4th 2021 and June 2023.
The records show that of the total monies approved, Buyaka Growers Cooperatives Society Limited got only 290 million shillings.
The summary of evidence by the DPP further shows that money was later diverted to different individuals and for different purposes majority of which was paying money lenders.
For instance, it’s the DPP’s evidence that Mawanda received the money worth 1.05 billion shillings and that in October and November 2021, shillings 200million was again transferred to the Bank Account of Owoyesigyire, Muhereza, and Company Advocates held in Bank of Africa for settlement of civil suit number 28 of 2020 between Beginner George Turyakira and Michael Mawanda in the Commercial Division of the High Court.
Evidence submitted before the Court today further indicates that 33 million shillings were paid to Centenary Bank for Mawanda to pay loan obligations to satisfy Akamba and Wamakuyu among other money lenders.
The prosecution concludes that during the trial, they will adduce overwhelming evidence both physical and non-physical to show that all the accused persons have no defense whatsoever and they should be convicted as charged.
The accused persons were not allowed to say anything about the charges against them are capital in nature and the magistrates court has no jurisdiction to entertain their plea as well as to try them. They have been advised to seek bail in the High Court if they so wish.
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