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Insight Post Uganda
Home Business

National Chamber of Commerce Accused Of Concealed Financial Mismanagement, Corruption

Insight Post Uganda by Insight Post Uganda
August 16, 2024
in Business
Reading Time: 4 mins read
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Olive Kigongo, President National Chamber of Commerce

Olive Kigongo, President National Chamber of Commerce

Masaka, Uganda

Corruption scandals at the Uganda National Chamber of Commerce and Industry (UNCCI) have left many wondering why the government agencies responsible for fighting corruption are either silent or overwhelmed by the cases.

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The chamber, which is supposed to represent the interests of businesses, is now caught in the middle of serious allegations that have shaken public trust.

Some members of UNCCI recently reported to the Inspector General of Government (IGG) and the Criminal Investigations Directorate (CID) about the alleged sale of the chamber’s valuable properties in the city by their president, Olive Kigongo.

What makes this even more concerning is that Olive Kigongo is the wife of Hajji Moses Kigongo, a top figure in the ruling NRM party. 

As these allegations unfold, many are left questioning why the authorities haven’t taken more visible action to address the issue.

A team led by Barnabas Kiisa, representing the district and city chairpersons, is accusing the chamber president of overseeing the sale of Plot 1A Kira Road Mulago, where the Chamber’s headquarters were once located.

“Some co-opted board members presided over the sale of these properties without following Public Procurement & Disposal of Public Assets (PPDA) guidelines such as gazetting and selecting the highest bidder,” the complaint to the IGG and CID reads in part.

“The estimated loss on the sale of these properties is estimated at UGX12.7bn. This includes the sale of properties at Nakivubo, Johnson Street, Lira, Buziga, Natete, Kanjokya among others.”

The complaint, registered as GEF136/2024 for abuse of office at Kira Road Police Station, marks the beginning of a battle led by Barnabas Kiisa, the Chairperson of the Uganda National Chamber of Commerce and Industry in Mbale City.

This fight to expose corruption within the chamber leadership began after the sale of the chamber’s headquarters on Plot 1A Kira Road, Mulago, for $1.2 million (about UGX 4.5 billion).

However, in his complaint to the CID, IGG, and State House, Kiisa alleges that only $800,000 (roughly UGX 3.1 billion) was officially declared.

 The irregularities led to the resignation of prominent board members, including Mrs. Margret Sekidde of Seroma Enterprise and Lady Charlotte of Centenary Park.

They are now calling on the Inspector General of Government (IGG) and the State House Anti-Corruption Unit (SHACU) to step in and rescue UNCCI before it completely sinks.

The morale at the UNCCI is reported to be at an all-time low, with a toxic atmosphere taking hold. The most affected are the District and City chairpersons, who are growing increasingly frustrated.

The UNCCI’s governance structure includes 10 regional offices and branch offices in every district across Uganda.

These District and City Chairpersons are now calling for elections after Olive Kigongo’s 22-year tenure as president, seeking a change in leadership.

“We want President Olive Kigongo and the Board members to account for selling Plot 1A Kira Road Mulago, the former headquarters and other properties of the Uganda National Chamber of Commerce and Industry,” Kisa said in the complaint to IGG.

The members have escalated their concerns by reporting their President, Olive Kigongo, and the Board members to the State House Anti-Corruption Unit, accusing them of abuse of office and corruption.

“Our primary concern is to revive and rebuild the chamber to serve the interests of the business community Countrywide,” the complainants added.

Twenty-two years ago, Olive Kigongo was elected as the first female president of the Uganda National Chamber of Commerce and Industry, succeeding the late Boney Katatumba.

According to the constitution, the organisation’s leadership should be chosen through a vote at an annual general meeting every five years. However, members claim that this process has never been followed, and they allege that the board members are complicit in this ongoing violation.

“We demand for elections and resignation of the Chamber president and the Board members. We have witnessed a decline in chamber activities and mobilisation of the business community Countrywide,” they allege. 

The IGG’s office has confirmed that they have received the complaint and will begin investigations after a thorough review.

The Uganda National Chamber of Commerce and Industry (UNCCI) is the oldest nationwide umbrella organisation for Uganda’s private sector.

Its main objective is to promote and protect the interests of the business community, with members representing all sectors of the economy.

The various sectors include internal and external trade, industry, tourism, transport, and services. The Chamber has an extensive network of district branches across all regions in more than 126 districts. 

The implications of the ongoing investigation into the Uganda National Chamber of Commerce and Industry (UNCCI) are significant.

If the allegations of abuse of office and corruption are proven, it could severely undermine the credibility and effectiveness of Uganda’s oldest and most extensive private sector organisation.

The scandal may erode trust within the business community, disrupt the Chamber’s operations across its 126 district branches, and impact its ability to advocate effectively for diverse economic sectors.

Furthermore, it could prompt a reevaluation of leadership structures and governance practices, potentially leading to sweeping reforms to restore integrity and accountability within the organisation.

END

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