Chogm security deal: IGG says Mbabazi not guilty

The Inspector General of Government has cleared Prime Minister Amama Mbabazi over allegations of influence peddling in the procurement of a security communication system for the 2007 Commonwealth Heads of government Meeting in Kampala.

Mr Mbabazi, who was security minister at the time, had been implicated by a May 2010 Parliamentary Public Accounts Committee report which found him guilty of “Influence peddling” in the deal awarded to Balton (U) Ltd at USD 5 million (approx. Shs 11bn) by the CHOGM Security sub committee.

But in the latest IGG’s report dated May 2011, the ombudsman says the procurement procedures for the Security Communication System for CHOGM 2007 were in line with Section 4(1) of the PPDA Act, 2003 and Regulations “contrary to PAC report”.

“It is true the USD. 5,000,000 for Security Communication System for CHOGM was initially not audited by the office of the Auditor General under the approved CHOGM funds/expenditures in April 2008. Subsequently, on 08/01/2009. Mr. John Muwanga carried out a special Audit of the National Backbone Infrastructure and E-Government Project (NBI/GEI) that covered the US$ 5,000,000 for Security communication system for CHOGM,” the IGG writes.

“From the details in the findings of paragraph 5.2, observations of paragraph 6.2 of this report and documents on record there was no evidence to indicate conflict of interest, and influence peddling in the process of procuring Tetra Communication System by Hon. Amama Mbabazi, Minister of Security or any other person as stated in the PAC report of May 2010,” the IGG report reads.

The IGG also says that there was no loss of funds with regards to this procurement of the Security Communications System “as reflected in paragraphs 5.3.21 to 5.3.28 contrary to PAC report of May 2010. M/s. Balton (U) Ltd supplied more items than what was indicated in the agreement”.

PAC had recommended that Mbabazi be held responsible for his "hidden interest" in the $5 million TETRA communication system deal where, on his command, the money was spent outside the budget approved by Parliament for CHOGM.

"The Minister of Security introduced the idea of $5,000,000 to the President, the first time ever, the figure surfaced in the CHOGM sub-committee meeting of September 12, 2006, documented under minute 05/06," PAC said in its report.

Mr Mbabazi, who had been implicated together with several ministers by the PAC report including Vice President Prof. Gilbert Bukenya, has always dismissed the allegations maintaining he was innocent.

Prof Bukenya was last week charged before the anti-corruption court in relation to the procurement of the executive cars for the 2007 CHOGM.

Prof. Bukenya was charged with abuse of office and acting fraudulently before Grade One magistrate Ms Sarah Langa. The former Vice President is jointly charged with Motorcare (U) Ltd, the company that supplied the 204 executive vehicles.

The IGG says the Shs9.4 billion Chogm car deal was awarded to Motorcare (U) Ltd under the ‘personal’ influence of Prof. Bukenya without proper tendering.

The IGG is yet to take action on other ministers including Foreign Affairs Minister Sam Kutesa, former Works Minister John Nasasira and former agriculture minister Hope Mwesigye implicated on PAC eport.

Others include John Byabagambi (State for Works ), Mwesigwa Rukutana (labour), Fred Omach (Finance), and former ministers Serapio Rukundo and Isaac Musumba.

Source: www.monitor.co.ug