Ps Mutabwire Faces Axe Over Sh12B Loss

Appeared in The Daily Monitor on 30 Oct 2015

Inspector General of Government (IGG) Irene Mulyagonja has ordered the head of Public Service, Mr John Mitala, to immediately interdict the acting Permanent Secretary of the Ministry of Local Government, Mr Patrick Mutabwire.

Justice Mulyagonja in the October 27 directive to Mr Mitala said the decision is premised on a complaint her office received recently about corruption, diversion and massive loss of funds at the ministry, a matter which is being investigated.

“Our preliminary findings indicate that he participated in the willful and unexplained diversion of funds, sanctioned fictitious payments to a large number of employees in the ministry which were channeled to their personal bank accounts purportedly to carry out official work,” Ms Mulyagonja wrote in the communiqué also copied to the Finance ministry Permanent Secretary, Mr Keith Muhakanizi, and Accountant General Laurence Semakula.

She added that her office was reliably informed that more than Shs12 billion may have been lost in the financial year 2014/15 as a result of the fraudulent acts and “incompetence” of Mr Mutabwire.

“At the onset of investigations, we have received information that the PS has now embarked on a process of intimidating and harassing some of the recipients of the suspected fraudulent payments,” the letter reads in part. This is coupled with urging them not to cooperate with the inquest into the whole affair.

“Therefore, this is now to direct that you immediately interdict him from performing the duties of his office in order to prevent him from frustrating our investigations,” the letter read, adding: “He should also be barred from accessing the premises of the ministry forthwith, except if specifically required to do so by this office.”

When contacted, Mr Mutabwire said he was not in position to comment on the matter since he had not received any communication from the IGG.

The ombudsman said the directive shall remain in force until further notice and completion of the ongoing inquest. Mr Mutabwire previously served as director local government administration in the ministry since 2010.

However, he was elevated to act in the interim after former PS John Muhanguzi Kashaka was interdicted over the Local Council bicycles importation scandal that cost government more than Shs4 billion for which he was given a 10-year jail sentence but appealed later.