The Inspector General of Government, Lady Justice Naluzze Aisha Batala, has ordered the immediate interdiction of Uganda Registration Services Bureau Registrar General Mercy Kainobwisho and three senior officials as investigations into alleged corruption, financial mismanagement and abuse of office at the agency deepen.
In a directive issued on Tuesday, August 18, 2026, the IGG instructed the Minister of Justice and Constitutional Affairs, Norbert Mao, to interdict Kainobwisho pending investigations into allegations of embezzlement of government funds, abuse of office, institutional mismanagement, money laundering and maladministration at URSB.
“The interdiction is intended to ensure that the ongoing investigations are conducted without interference and in the public interest,” the Inspectorate of Government said.
The IGG said the decision was taken under Article 230 of the Constitution and Section 13(6) of the Inspectorate of Government Act, which empower the Inspector General of Government to issue orders and directions considered necessary during investigations.
“In the instant case, public interest demands that while investigations against the above officer are still ongoing, she should be suspended from exercising the powers and functions of her office,” the statement said.
Mao has also been directed to consult the URSB Board and put in place interim arrangements to ensure that the functions of the Registrar General continue without interruption.
The directive comes just days after President Yoweri Museveni ordered several senior URSB officials to step aside pending an audit into the activities of the government agency.
A State House directive dated July 24, 2026 ordered senior officials, including Kainobwisho, to go on leave until the audit was completed. The move followed allegations raised by URSB Commissioner for Business Registration Gilbert Agaba concerning governance and financial management at the Bureau.
Among the concerns reportedly raised were alleged inflation of contracts for the development and maintenance of ICT systems, suspected money laundering linked to the Non Individual Register project, alleged misappropriation of Bureau funds, irregular procurement, fraudulent registrations, weak financial controls and under collection of government revenue. The allegations have not been established as fact and remain subject to investigation.
URSB confirmed on Monday that an audit was underway, saying it was being conducted in accordance with established procedures and applicable laws. The Bureau also said its services had not been disrupted.
The latest IGG directive has widened the action against the Bureau’s top management.
In a separate directive, the IGG instructed URSB Board Chairman Francis Butagira to interdict three other senior officials pending the completion of investigations into allegations of corruption against them.
They are Deputy Registrar General Alex Anganya, Commissioner for ICT and Innovations Arthur Kwesiga and Assistant Commissioner for Business Registration Services Walid Kule.
“The Chairperson of the URSB Board of Directors is directed to interdict three senior officials of the Bureau pending completion of investigations into allegations of corruption against them,” the IGG said.
Butagira has been directed to make appropriate interim arrangements to ensure that the affected officers’ functions continue in accordance with the law, while preventing any operational gaps at the Bureau.
The IGG has also directed the URSB Board, management and staff to cooperate fully with investigators and provide the information and support required to facilitate completion of the probe.
The Inspectorate further ordered the suspension of URSB’s scheduled residential Executive Training at the National Leadership Institute in Kyankwanzi, which had been scheduled to run from August 16 to August 21.
“The training is to remain suspended until the IG’s investigations are concluded or further guidance is issued,” the statement said.
The investigation places renewed scrutiny on an institution that plays a central role in Uganda’s business environment. URSB is responsible for registering public and private companies, foreign companies and legal documents, among other registration functions. Its mandate also covers areas including intellectual property, insolvency and receivership.
Kainobwisho has served as URSB’s Registrar General, Chief Executive and Accounting Officer, overseeing the Bureau’s work in business formalisation, intellectual property protection, insolvency and receivership regulation and related registration services.
The Bureau has in recent years promoted digital registration systems and other reforms aimed at making it easier for businesses to formalise and access government services. In February 2026, URSB said its reforms included the Online Business Registration System and other initiatives intended to simplify registration procedures and improve transparency.
The current investigation therefore comes at a sensitive time for the agency, whose services are relied upon by businesses, investors and members of the public seeking company registration and other statutory services.
The interdictions are administrative measures intended to facilitate investigations and do not by themselves constitute findings of guilt against the affected officials. The outcome of the ongoing investigations will determine whether the allegations result in disciplinary, administrative or criminal proceedings.
