Mbale

Mbale district officials are currently at loggerheads with the office of the IGG after the latter cleared payment of sh80m owed to Omega Construction Company. In 2008 Mbale Municipality contracted Omega Construction to tarmac Naboa Road for a sum of sh523m. The road is a 1.6km dual –carriage stretch from bishop Wasike road to Courts Road. The council has also cleared up to shs400m before the IGG halted the payment pending investigation into the quality of work delivered by the contractors. The IGG’s decision was based on the red–flag raised by concerned residents over poor workmanship and abandoning the work before completion. By this time, Omega had only put a thin layer of tarmac on the road prompting residents to question why it was awarded the tender for a job it would not execute.

“ This company had many contracts running concurrently and yet it had a few equipment and technical staff to effectively implement the project within the stipulated contracted time, a development which delayed completion of the job,” James Kutosi, the municipal council spokesperson said.

But despite the controversy ,a letter signed by the IGG Irene Mulyagonja, Instructed Mbale municipal council to pay to pay off Omega Construction shs80m as per the certificate. Kutosi confirmed that the IGG had eventually okayed the payment to omega construction but added that Mbale municipal council was still contemplating the IGGs recommendation since omega did not meet its side of the bargain. “we acknowledge receipts of the letter from the IGGs office instructing Mbale municipal council to clear outstanding monies with omega constructors despite the company’s failing to complete the work and doing shoddy work, but we have sought the guidance of the state attorney in the matter”, he said.

However, the contractor is now demanding shs150m to cover for the damages which the council faults on the IGG’s office which investigated the matter for over two years. “The terms of the contract clearly indicated that payments shall be done within 30 days and failure to honor will attract interest on top of the municipal contract sum .therefore ,the IGG should take that fault for taking quite long investigating,” an official said. Kutosi says the contractor has already filed a court case against the council demanding payments of shs150m.

He added that the council received court summons last week demanding it to file its defence over the same.