Finance Minister Kasaija takes responsibility over mess in Custodian Board

Finance Minister Matia Kasaija has taken the blame for the mess that saw departed Asians properties that were fully compensated for by government end up in hands of individuals and companies.

Kasaija who is also the Chairman of the Departed Asians Properties Custodian Board (DAPCB) was on Thursday appearing before select task force of the parliamentary Committee on Commission, Statutory Authorities and State Enterprises (COSASE).

He said he takes full responsibility for the mess but also admitted it was wrong for him to occupy two public offices at ago, even though he said he was appointed by President Museveni.

“I will seek guidance from the Attorney General William Byaruhanga on this matter and report back to this committee,” Kasaija said.

The committee members also asked Kasaija to explain why Byaruhanga is always absent in the custodian board meetings.

The probe started after the Board chaired by Kasaija claimed that unspecified amount of money was paid to undisclosed claimants for properties which were sold by the Board prior to receiving repossession claims by original owners.

The MPs have asked the Board to publish a list of the beneficiaries to confirm whether they did not pay ghost claimants.

While appearing before COSASE days ago, the executive secretary of the Departed Asians Property Custodian Board (DAPCB), George William Bizibu, admitted the accountability queries when questioned by MPs. During the interface with the MPs, Bizibu who has been at the helm of the DAPCB for about two years said the board does not have information on the current ownership of several plots despite the records indicating that they were compensated by the government.

However, the MPs accused Bizibu of trying to cover up senior government officials accused of grabbing the Asian’s properties.

The composition of the board has become a matter of public scrutiny.

The Board members include Kasaija, Lands Minister Betty Amongi, Attorney General William Byaruhanga, State Minister for Local Government Jenifer Namuyangu, State Minister for Industry and Cooperatives, Michael Werikhe, Gen Salim Saleh who is a “co-opted member”.

Section 5 (1) of the Assets of the Departed Asians Act requires the board to sit at least once every month.

However, it has emerged that failure by the board members to meet has over the years encouraged fraud at DAPCB where hundreds of properties have been stolen. An Auditor General’s report has raised accountability queries at the Custodian Board such as theft of public funds through fictitious compensations of up to Shs1.7 billion, double allocation of properties, forged land titles, sale of assets without proper valuation, missing documents among other illegalities.

The February 2011-March 2016 report of the Auditor General, John Muwanga, revealed that the Board chaired by the Finance Minister failed to maintain proper books of account and annual financial statements were not prepared. In the result, it took Auditor General 15 years to audit the Custodian Board activities.

In the process, billions of shillings in taxpayers’ money was misappropriated. The Auditor General’s report for instance, shows that Shs50.2m cash was not banked and lacked accountability documents at the time of the audit. Another Shs15.2m was receipted as cash received but could not be traced in the bank statement. Also, about Shs500m was spent directly from the collection account without the authority of the Board.

“It was also noted that Shs292.3 million was withdrawn from the bank without explanation as to the nature and purpose of the payments… these actions are not in accordance with best practices in financial management… [inquiry into the use of these funds should be instituted],” the AG report reads in part.

Meanwhile on Thursday also discovered that troubled Bizibu has not been formally appointed to that job.

The legislators plan to have Kasajia explain why Bizibu, who has had trouble explaining audit queries that have ruined operations DAPCB is working without a formal appointment. “Mr Bizibu is in office illegally,” MPs said.