‘The Bad Publicity You’re Rising Is Discouraging Potential Savers’ -Speaker Among Directs Gender Minister Betty Amongi To Present A Report On NSSF Saga Amidst Corruption Allegations
The Speaker, Anita Among, has directed the Minister of Gender, Labour and Social Development, Hon. Betty Amongi to present a statement on the current status of the National Social Security Fund (NSSF).
NSSF, whose portfolio stands at Shs17.9 trillion has recently been marred with allegations of corruption and mismanagement including the renewal of the contract of its former Managing Director, Richard Byarugaba who attained the retirement age of 60.
During plenary on Wednesday, 18 January 2023, Among said there is a need for both Ministers of Gender and Finance to assure citizens that their savings remain safe amidst the controversies.
“We need to find out from the Ministers of Gender and Finance whether the savers’ money is safe; we need a report in this House from tomorrow. Give us the status of savers’ money and tell us what the fight is about,” she said.
NSSF is under the joint supervision of the Ministry of Gender and the Ministry of Finance.
Hon. Allan Mayanja (NUP, Nakaseke Central) hailed the speaker for making this demand but also suggested further scrutiny is needed.
“The bad publicity arising from the scandals could discourage the potential voluntary savers. I concur with you that the ministers present a report or even the Committee for Gender gets interested in this matter,” he said.
Background Of The NSSF Saga
For a couple of weeks now, Minister Betty Amongi Akena has been in battles with Byarugaba accusing him of mismanaging the workers’ funds.
These battles started after Byarugaba’s contract expired at the end of November 2022 but the NSSF Board had endorsed Byarugaba’s re-appointment for another five-year term.
On the basis of the endorsement and a presidential directive for the same, Prime Minister Robinah Nabbanja asked line Minister, Betty Amongi to proceed with the appointment however, the minister protested the move and instead called for an investigation into Byarugaba’s conduct while at the fund, accusing him of abuse of office and mismanagement of the entity’s investments, among other issues.
In a letter to Byarugaba, Among accuses him of involving himself in a couple of corruption and bribery scandals among them including, an alleged UGX 3 billion that was paid by CATIC construction as a kickback to build the Mbuya CIDATEL apartments.
”This money was paid to both Richard and the head of procurement called Mugabi Gerald. The head of procurement used his share to build a hotel in Kagadi called (Hotel Seyaya Courts),” claims Among adding,” It’s alleged that during the purchase of MTN and quality Chemicals shares by NSSF, there was a kickback that was paid to Richard and the investment team. This was handled through a lawyer whose name shall be availed in confidence to H.E. only. (The whistleblower is available).”
Among also alleges that in 2012, the office of the Inspector General of Government (IGG) made investigations and instructed that Richard Byarugaba should refund some money to the Fund after it was discovered that he caused financial loss to the Fund by selling a plot that was owned by NSSF at Bakuli at a value less than the value the Fund paid to buy it.
”It is alleged that during the sale of a Plot in Mbarara that belonged to the Fund, there was an exchange of money after the plot was sold at less than the market value and the difference was given to Richard and the Head of Procurement,” Among further accuses Byarugaba.
”Richard used a company called Symbion headed by a Kenyan called (Pius) to redesign his house in Mbuya in exchange for business. The company is lined up for supervision for a contract for the proposed development of the Yusuf Lule Road Plot. That is why he wanted to defy H.E. the President’s directive to give the contract to SMS contractors.” she added in her letter.
Meanwhile, a couple of reports on the other hand pin Among of conniving with Sam Lyomoki, a former Member of Parliament representing workers, in trying to ‘smuggle’ out over Ugx1bn from NSSF, a deal that Byarugaba blocked. It’s said that this annoyed Lyomoki and Among hence launching a ‘deadly’ fight against him.
