The Inspector General of Government (IGG) has cancelled a housing resettlement project for the 2010 Bududa landslide victims in Kiryandongo.

The IGG has cited fraud and irregular tendering of the contract to Hydraform International (PTY) and its agent Hydraform (U) Ltd.

Following investigations, Munira Ali, the IG Spokesperson, says that in a letter to the permanent secretaries of the energy ministry and the Office of the Prime Minister, the IGG has cancelled the project and called for a new procurement process.

The IGG has also directed the energy ministry, which has kick-started a similar procurement process for Hydraform International (PTY), to halt the evaluation and instead use the machines that the company had procured for the OPM in the 2009 contract framework.

The IGG in the same communication, exonerated Edgar Agaba, the former executive director of the Public Procurement and Disposal of Public Assets Authority (PPDA), of any influence peddling.