Stanbic Bank
Stanbic Bank
26.6 C
Kampala
Stanbic Bank
Stanbic Bank
Home Blog Page 623

Museveni passes out over 2000 Local Defence Personnel in Katakwi District

Kaguta Museveni has passed out 2593 Local Defence Personnel in Katakwi

The President of the Republic of Uganda and Commander in Chief of the UPDF H.E Gen Yoweri Kaguta Museveni on Tuesday May 31st passed out 2593 Local Defence Personnel at Olilim Training School, Palam Sub County, Ngariam County in Katakwi District.

President Museveni, in his address, expressed his happiness at the fact that the graduates volunteered to join the UPDF but were not conscripted.

He thanked the army leadership for developing infrastructure for the army including the training schools.

“The old armies had a few training schools like Jinja, Kabamba and Nakasongola but now we have Singo, Kaweweta which have a special history. Others like Labwordwong and Butiaba, among others, were identified by the army leadership,” he noted.

He directed the Commandant to use part of Napak Mountain in their training of recruits as mountain training produces a better army.

The President thanked the UPDF leadership for enabling a young country defend itself using simple means.

He invited the press to take pictures of the simple huts in which the soon to be passed out soldiers used to sleep as an indicator to show the parasites in Kampala (Bamulyabiyidde) that one can begin humbly within their means and serve their people.

He expressed happiness at the fact that the recruits are well educated with degrees, A Level and the lowest with UCE certificates.” Educated people are easy to train because they learn quickly,” he added.

He called on leaders to fight corruption so that development of infrastructure can blossom.

President Museveni promised to eliminate cattle rustling and called on cattle rustlers to stop the vice because they are wasting their time.

 “Cattle rustlers are sabotaging themselves – money we would use to develop them as we have done with the Soroti – Moroto-Kotido road and a power line, is instead used to fight them,” he scoffed.

He congratulated graduates and reminded them that health is very important and that the dangers to health are known; i.e., Pombe (alcoholism), umalaya (promiscuity) – umalaya hatari kwa maisha (promiscuity is dangerous to health) and indiscipline,” he cautioned them.

He then declared the graduates passed out after which they took their oath of allegiance.

The Deputy Chief of Defence Forces Lt Gen Peter Elwelu thanked the President for honouring their invitation and further remarked that more and better infrastructure like more classrooms, accommodation for recruits and instructors, piped water and a health facility will be constructed at Olilim Training School.

He also noted that in future the Airforce training school may be relocated to Olilim as Nabugabo is getting more and more squeezed.

”Believe and practice patriotism, Pan Africanism and humility to have a happy life in the army. Selfishness, arrogance and indiscipline will push you out of the army,” the Deputy CDF cautioned graduands.

The Commandant of the Training School Lt Col Eria Katorogo Mugasa reported that the 8th Intake of 21/22 started with 2,611 students, 475 of them women, on the 1st November 2021.

2593 successfully completed the 24 weeks (6 months) course.

The trainees were voluntarily recruited from the districts of Kampala, Wakiso, Greater Mukono, the Greater Jinja and the Greater Iganga with qualifications ranging from Uganda Certificate of Education (UCE) to Masters Degrees in various disciplines.

238 of the graduates were from the Internal Security Organisation.

The Commandant commended the graduates for their exceptional discipline during the course and assured the UPDF leadership that the graduates were a group the army leadership would strongly rely on after deployment.

 “The zeal, discipline and enthusiasm with which they endured the robust training is a clear manifestation of their desire to protect their families, villages, neighbourhoods and country at large”, he emphasized.

He congratulated the graduates upon their successful completion of the rigorous course and reminded them of their duty to keep the oath of allegiance, which they affirmed to uphold at all times.

 “As members of the LDP, always be ready to serve Uganda, its people and protect our national interests. Always put the mission before personal needs,” the Commandant advised.

He was especially grateful to the UPDF leadership and sister Schools of the Field Artillery and Air Defence (SOFAAD) and Counter Terrorism Police Training School (CT-PTS) for their support towards the training course.

During the course, the graduates acquired basic military skills and knowledge, several tactical field training exercises and drills. They also received external lecturers from Senior Military and Government officials to familiarise them with current political trends and leadership at different levels.

The pass out was also attended by the Deputy Commander Land Forces Maj Gen Sam Okiding, Deputy Commander Air Force Maj Gen Charles Okidi, 2 Division Commander Maj Gen Francis Takirwa, Chief Political Commissar Maj Gen Henry Masiko, the RDC Katakwi District Maj Godfrey Katamba, the Katakwi Distict Chairman, Mr. Geofrey Omolo and many other Senior Security, civil and religious leaders.

Stories Continues after ad

Shs10 billion supplementary to Lands Ministry illegal – Kasaija

Finance Minister; Matia Kasaija

The Minister of Finance, Planning and Economic Development, Hon. Matia Kasaija, has apologised for the Shs10.6 billion supplementary budget for Uganda Land Commission (ULC) to pay land claimants in Buganda and Bunyoro sub-regions in the Financial Year 2020/2021.

Kasaija admitted that the request for the supplementary was an illegality and erroneously approved without following the rightful procedures in accordance with the Public Finance Management Act, 2015.

Kasaija made the admission while appearing before the Committee on Commissions, Statutory Authorities and State Enterprises (COSASE) on Tuesday, 31 May 2022. The committee is investigating the origin of the supplementary after the Auditor General’s report raised a red flag.

Preliminary investigations show that the legal procedures were flouted while processing the supplementary which was allotted to benefit six land claimants some of whom were allegedly ghost beneficiaries.

Initially, Kasaija in his presentation said that supplementary was legal and binding and that it went through all the established government procedures in accordance with the law before it was approved.

However, when the committee interrogated him further on the legal procedures of initiating a supplementary, the minister was quick to apologize and accepted that there were some irregularities in the process.

“This supplementary was in error; it was not supposed to be initiated by the Minister of Lands. If you are to follow the law strictly, then my ministry should have rejected this and should not have approved it. It is the Uganda Land Commission that should have sent in the request [for a supplementary] and not the Minister of Lands,” Kasaija said.

According to Kasaija, the supplementary budget in question was initiated by the then Minister of Lands, Hon. Beti Kamya on 12 March 2021 who requested the Ministry of Finance to avail Shs10.62 billion for ULC to compensate six land claimants as reportedly directed by the President.

However, he could not furnish the committee with the alleged letter from the President.

The six land claimants who benefited from the Shs10.6 billion supplementary are, Kasiya Rwabukurukuru (Shs6.43 billion), Stephen Peter Nagenda (Shs1.06 billion), Julius Busuulwa (Shs1.4 billion), Natalia Namuli (Shs1.6 billion), Yisaka Lwakana (Shs125.3 million), and Geoffrey Mugisha (Shs1.49 billion).

“I think we should ask Hon. Beti Kamya to give us a copy of this letter from the President because I do not have a copy but I will check if I was given one,” he said.

Kasaija faulted his technical staff for misguiding him into approving a supplementary request which was not initiated by the end-user agency.

He further proposed that the committee summons the then Secretary to the Treasury, Keith Muhakanizi, to explain some of the illegalities surrounding the said supplementary.
 
The MPs challenged the minister to always do due diligence before approving proposals that may result in gross loss and misuse of public funds.

“Why does our Finance Minister not read these documents and do proper due diligence before signing them? Your signature is a very powerful one because it releases money and so on. You should have done due diligence by being sure who is initiating the supplementary and the whereabouts of the presidential directive,” COSASE chairperson, Hon. Joel Ssenyonyi said.

Mityana District Woman Representative, Hon. Joyce Bagala called upon the Minister of Finance to reign over his ‘misleading’ technical staff and resign if he feels overwhelmed by government duties.

“It sounds to me that the minister is overwhelmed by the work he is doing and if he feels so, then he should resign. And if you [minister] feel the technical officers have failed you, then why not take action against them because it is not the first time you have told this committee that you have been failed by your technical staff,” Bagala said.

Stories Continues after ad

Deputy Speaker Tayebwa calls for dialogue on contraceptive use

Deputy Speaker, Thomas Tayebwa.

The Deputy Speaker, Thomas Tayebwa has called for more discussions about the use of contraceptives as a means of stopping unwanted pregnancies.

Tayebwa made this call while meeting a delegation of the All Party Parliamentary Group from the United Kingdom on Monday, 30 May 2022.

The meeting was also attended by officials from Marie Stopes Uganda, the United Nations Population Fund (UNFPA), and members of the Parliament on forums of Food Security, Population, and Development.

The meeting centred on issues of family planning and sexual reproductive health and rights.

According to Tayebwa, poverty is the biggest driver of challenges related to reproductive health like early pregnancies adding that, ‘these are some of the things that the Parish Development Model will address’.

He said that when Ugandans have money and can pay for school fees and take children to hospitals, it leads to improved reproductive health.

Tayebwa added that there is a need for intervention and dialogue, especially on interventions not in line with African customs and beliefs.

“On early childhood pregnancy, our concern is that more investment should be made in preventing it instead of handling a pregnancy. If your focus can be more on that, you will win more and more people,” he said.

Tayebwa said that it is also part of the government’s policy now that pregnant students should be allowed to sit for their final examinations.

The Chairperson of the Committee on Health, Hon. Charles Ayume said that Uganda is registering tremendous contraceptive prevalence rate which is at 39 per cent compared to 20 or30 years ago.

Ayume added that although it looks corrosive, it is important for Uganda to have a healthy and productive population.

“I was in the UK recently and I was impressed that they can do early screening of these challenges before the baby is born. I think this should be where we are going…where they can do surgical procedures intra-uterine, “he said.

The Leader of the UK Parliamentarians, Baroness Liz Sugg said that for both UK and Uganda to grow, women and girls need to be supported in their sexual reproductive health and rights.

Stories Continues after ad

Maj Joseph Mukiraine laid to rest

Maj Joseph Mukiraine Is Laid To Rest

Wazalendo Sacco’s Entebbe Branch Manager, Maj. Joseph Mukiraine, was laid to rest at his ancestral home in Nsenyi Village, Kisinga sub county, Kasese District on the 29th May 2022.

The fallen Branch Manager was found dead at Virunga Guest House in Kiwatule in the morning of Thursday 26 May 2022.

Rev Father Masereka Climent urged mourners at the burial of the late to seek God and prepare their destiny. He said the military are always on front line so it’s better for them to keep prepared in the process of meeting their Lord.

Maj Mukiraine was born on 3rd March 1975 and joined the army on 17 July 2000. He was commissioned to the rank of 2nd Lieutenant in 2002.

He was promoted to Lieutenant in 2004 and to the rank of Captain in 2013. He was elevated to the senior rank of Major in 2019, the rank at which he passed on.

Maj Mukiraine attended the officer cadet course in Jinja, Officers’ Basic Gunnery course in Masindi, Anti-Tank course from China and Regimental Officers’ Gunnery course in Masindi.

During his career, Mukiraine held various appointments that included among others; Troop Commander Anti-Tank guided Missile Regiment in 2004, Officer Commanding Anti-Tank Guided Missile Regiment 2008, Training Officer Anti-Tank Missile Regiment 2005, Battery Commander Anti-Tank in 2008, Secretary WSACCO Supervisory Committee, Loans Officer WSACCO in 2009 and also became the WSACCO Entebbe Branch Manager in 2011.

The Chief of Defence Forces Gen Wilson Mbasu Mbadi, in a speech delivered for him by Col Joseph Freddy Onata, the Chief Executive Officer WSACCO, condoled with the family following the demise of their son.

“The UPDF family extends sympathy and condolences to the departed comrade’s family, relatives and friends,” Gen Wilson Mbadi said.

Gen Mbadi noted that Mukiraine made selfless contribution in the defence of his country throughout his service career.

He added that the Uganda Peoples’ Defence Forces is saddened by the loss of such a senior officer at a prime time of his career.

He asked the family to cooperate while processing the survivors’ benefits from the UPDF to ease the processes.

On behalf of the commander Special Forces Command (SFC) Col Nathan Fredrick Nabimanya said that the SFC regrets the untimely death of their beloved comrade under mysterious circumstances.

He said that Maj Mukiraine’s whole life in the army has been served under SFC. He further applauded the late for being a disciplined and loyal officer who delivered his assignments with dedication.

The Chief Executive Officer Wazalendo SACCO Col Joseph Freddy Onata appreciated the mourners for coming in big numbers to send off their brother, which showed not only love for the family but also comforted the grieved family.

He said the late had run his race with no stain.” As WSACCO, Joseph served us well and gave his all and shall greatly be missed for his contributions, ideas and energy,” Col Onata emphasized.

He encouraged the community to form SACCOS to easily tap into government development programs such as the Parish Development Model to gain access to some levels of incomes that will boost their other income generating activities.

On the same note, the CEO of WSACCO on behalf of the Chairman Board of Directors pledged free training to mourners on how to establish and run sustainable SACCOs and offer financial literacy in remembrance of Maj Joseph Mukiraine as the son of that land.

The brother to the late Mr. Louis Mukiraine appreciated WSACCO and the UPDF family for loving and mentoring his brother into a responsible person.

He appreciated Joseph for being a strong man, and thanked God who brought them up after the death of their two parents who departed when they were still infants.

He also thanked the community for standing with them to pay a farewell to Maj Mukiraine.

Stories Continues after ad

MP Adeke, Deputy Lord Mayor further remanded to Luzira prison

MP Adeke, Deputy Lord Mayor Doreen Nyanjura among those arrested for protesting high commodity prices.

The Law Development Centre (LDC) Court has further remanded Soroti Woman MP Adeke Anna Ebaju and Kampala Deputy Mayor Doreen Nyanjura.

The two alongside Nanyonjo Susan, Amony Alice, Wokuri Madanda and Miriam Kizito were arrested yesterday at Mulago roundabout for protesting against skyrocketing prices of essential commodities and the continued detention for the former presidential candidate Dr. Kizza Besigye.

They were detained at Wandegeya Police Station and later produced before Acting Chief Magistrate Augustine Alule and charged for holding unlawful assembly and inciting violence.

The accused denied all the charges. Through their lawyers led by Erias Lukwago, Ivan Bwowe and Samuel Muyizzi Mulindwa, they applied for bail. The lawyers argued that the accused hold positions of responsibility in different capacities in this country and that they have never been convicted or given bail previously and they skipped it.

The magistrate however remanded the suspects to Luzira prison until today for hearing of their bail applications.

Earlier today, the six were denied bail and further remanded until 7th June 2022.

Stories Continues after ad

Court summons Uganda Airlines over sacked CEO Cornwell Muleya

Cornwell Muleya

Uganda Airlines has been summoned by Industrial Court to file their defence over the unlawful suspension and termination of the employment contract of former Chief Executive Officer (CEO) Cornwell Muleya.

Through his lawyers of Muwema & Co Advocates, Muleya dragged the airline to court saying there was no factual, contractual or legal basis for the impugned action of disregarding the due process when they unlawfully suspended and subsequently terminated his contract of employment.

“Take notice that a Memorandum of Claim has been filed in the Industrial Court at Kampala in which you (Uganda National Airlines Co. Ltd) are named as a Respondent. Service of summons on you was ordered to be by this Notice,” part of the court summons read.

The airline has been given seven days from today to file their response or the suit will be determined in their absence.

“Unless you file a Response within seven days from the date of receipt of this notice, the suit will be heard and determined in your absence,” the summon reads.

Muleya seeks Shs 3,545,186,318 in total in terms of damages and other costs including salary arrears and gratuity among others. He also wants immediate reinstatement as the Chief Executive Officer of the company.

The Works and Transport Minister, Gen. Edward Katumba Wamala suspended Muleya and 12 other top officials on April 21, 2021, on the orders of President Yoweri Museveni to pave way for investigations into allegations of financial mismanagement, collusion, and nepotism in staff recruitment among other issues.

According to Muleya, the said suspension was illegal on two grounds; the Permanent Secretary of the Works ministry had no power to suspend him under the governance structure of the airline and that the power vests exclusively in the Board of Directors. Secondly, the suspension was illegal because it exceeded the maximum period of four weeks allowed under Section 63 (2) of the Employment Act, 2006.

He protested against the directive terming it illegal and contrary to the law vide his letter dated 27th May 2021 to the company’s secretary but was never favored with a response.

Upon expiry of the suspension period on 27th November 2021, Muleya says he was still kept out of office without any justification and/or legal sanction.

He says despite leveling serious allegations of mismanagement against him, he was neither furnished with the particulars of the mismanagement nor accorded an opportunity to respond to the said allegations before sending him on leave of absence.

Muleya explained that whereas his employment contract provided for dismissal from employment on grounds of serious misconduct or gross negligence, it did not provide for termination of the contract.

Stories Continues after ad

MTN unveils winners of MTN UG Hip-Hop awards 2022

L-R (Allan Wathika alias Triggah emerged winner of the Cypher challenge,Ibrahim Balunywa alias Ebrahim Soul’o and Anena Missy Ochola alias King Missy were the first and second runner-up at the MTN Hip-hop awards

It was a display of the glitz and glam at Uganda’s biggest hip-hop night at the 2022 MTN UG Hip-Hop awards as MTN unveiled this edition’s winners.

The UG Hip-Hop awards were created to recognize and celebrate the talent and hard work of artists in Uganda’s hip-hop industry. MTN has partnered with the platform in recognition of their appeal amongst the youth segment.

To ensure sustainability of the music genre, MTN introduced the MTN Pulse Cypher challenge to discover, nurture and support new talent in the hip-hop industry through providing young talented artistes a platform to showcase their Hip-Hop prowess.

This year, the five final contestants of the MTN Pulse Cypher challenge faced off to see the winner take home Shs 2million, while the second and third walked away with Shs 1.5million and Shs 1million respectively.

Allan Wathika, alias Triggah emerged the winner of the Cypher challenge while Ibrahim Balunywa, alias Ebrahim Soul’o and Anena Missy Ochola alias King Missy were the first and second runner-up in this year’s competition.

Filled with joy and excitement, Triggah thanked MTN for the initiative to support young artists saying he is going to use the prize money to further his music ambitions.

“I am extremely happy to have won. I am going to use this money to push my music career further. I am very thankful to MTN for this platform and I urge every Ugandan out here to continue supporting MTN because it supports us a lot,” he appreciated.

In a surprise twist, and in recognition of their efforts and skills, MTN Pulse offered a consolation prize of Shs650,000 to the other 2 contestants each as well as 20 GB Freedom data bundles to all the top 5 contestants.

SafeBoda, one of MTN Pulse partners, offered cashless giveaways to the top 3 and Safe Boda helmets to each of the 5 as well as 5 tickets to Orange Vibes at Cinemax.

In addition, the 5 final contestants of the MTN Pulse Cypher challenge received a chance of a lifetime when Swangz Avenue, a renowned production powerhouse, offered them a collabo for free.

This year’s awards winners are:

Album of the year – Kraccbone – Ego

Male artist of the year – Navio – 30 seconds to Hollywood

Female artist of the year – STONE AGE UG – KIMALA NEKIGWA

Rookie of the year – Zedmonk Ssabatontomi – Work si myaka

Inspirational song of the year – AJ Stylz ft. Spyda MC – Nkowola

Song of the year – The Mith ft. Herbert Ssesamba – I GIVE HER LOVE

The collaboration of the Year – Lagum the Rapper ft. Bangi – Catching Flights

Rap Fusion of the Year – Keinoh – Dior

Video of the year – Keinoh – Drip

Best Producer – 207

African Artist of the year – Khaligraph Jones

Eastern Uganda artist of the year – AJ Stylz – Put in the work

Northern Uganda artist of the year – Judas Rapknowledge da Akbar – Heart Of Hannibal Barca

Western Uganda artist of the year – Crazie wispa – Mwebale /Thank you

Central Uganda artist of the year – Felista di superstar

Lyricist of the year – Lyrical G – Sikyasaaga (The L-Matic)

Hip Hop Deejay of the Year – DJ Victor 256

Mixtape of the year personality of the year – Kavali King – 16 track tape

Sweet Sixteen – 207 – Abajega

Media personality – Calvin the Entertainer

Special Awards

Lifetime Achievement Award – Steve Jean

Stories Continues after ad

Former Judge Kanyeihamba seeks to withdraw bail petition against Museveni

Prof. George Kanyeihamba

The retired Supreme Court Judge Prof. George Kanyeihamba has asked the Constitutional court to drop his petition challenging President Yoweri Museveni and the National Resistance Movement-NRM’s move to scrap bail for capital offenders.

Kanyeihamba sued President Museveni, Attorney General and the NRM party saying they wanted to change the law so everybody is ‘guilty until you prove that you are innocent’ yet the law saying everyone is presumed innocent until proven guilty.

During the pre-hearing of the case on Monday, Justice Kanyeihamba told court that he intends to ask for an adjournment when it comes up for full hearing before the panel of five justices until when the government brings back the threats to scrap off bail.

“When we come back for the hearing, we shall ask the court to drop the petition and adjourn its hearing indefinitely because there is nothing to arbitrate on since we have learnt that the respondents have withdrawn their threats,” Justice Kanyeihamba told court.

Kanyeihamba said if the President wants to remove the right to bail, he should first withdraw Uganda from all international treaties that guarantee bail globally,” he said adding “that the removal of bail is a violation of human rights of capital offenders.”

The petition further stated that, although the Attorney General and the Government of Uganda have a right to limit fundamental rights and freedoms, it can only be done in line with Article 43 of the 1995 Constitution and International laws.

“Article 23 of the Constitution of Uganda guarantees and prescribes the Right of any person charged with a criminal offence to apply for bail, which the court can honor or deny,” reads in part the court document.

However the AG filed an affidavit of Ms Lucy Mbonye Nakyobe, the Head of Public Service and Secretary to Cabinet, who asked the court to dismiss the case against the sitting President since he is protected under the law.

She added that the petition is misconceived and it purports to challenge public statements of opinion and recommendations on proposed legislative reforms of the law governing bail, which have not been passed into law.

Court set June 16 for hearing of the case before a panel of five justices who include; Catherine Bamugemeire, Stephen Musota, Irene Mulyagonja, Muzamiru Kibeedi and Monica Mugenyi.

Stories Continues after ad

It isn’t Sudhir or any other Ugandan after my property – Bitature

Businessman Patrick Bitature

Troubled businessman Patrick Bitature has come out to apologise to fellow businessman Sudhir Ruparelia.

There has been a social media campaign dragging in Sudhir’s name which was made worse with the revelation in the local press that the loan from Vantage was used to pay Crane Bank Limited.

Bitature said in a tweet on his handle @patrickbitature that it was part of the deliberate smear campaign to drag Sudhir in his woes.

“I would like to assure all of you that I do not think anybody in Uganda and in particular my longtime friend Sudhir Ruparelia is after my property. Unfortunately, this is part of a deliberate smear campaign aimed at eroding both his and my reputation in the eyes of the public.”

In December 2014, Bitature’s Simba Properties Investment Company (SPIC) acquired $10 million loan from Vantage to pay an outstanding loan but also complete his Skyz Hotel in Kampala. Bitature at the time praised Vantage for the timely financial help. Now he does not want to pay the loan arguing that it is illegal, the date of repayment having elapsed in December 2019.

For instance, he has said part of the loan he acquired from Vantage was paid to Crane Bank Limited (CBL), formerly owned by Sudhir Ruparelia, the Chairman of Ruparelia Group. CBL was unfairly sold by Bank of Uganda (BoU) to DFCU in January 2017 in a transaction worth Shs200 billion, paid in installments.

But the turn of events, troubled City businessman yesterday admitted in a public statement that he legally borrowed money from Vantage Mezzanine contrary to his lawyer Fred Muwema who said Vantage was a ghost company.

Bitature who has come under public criticism says he is willing to settle the loan with Vantage despite the ongoing private prosecution initiated by Vantage.

“As part of its business expansion plans, Simba approached Vantage Capital in 2014, seeking an alternative to the more common and mainstream pure debt funding for business expansion. Consequently, a “Mezzanine Term Facility Agreement (MFTA)” was signed between Vantage Mezzanine Fund II partnership (“Vantage”) and Simba Properties Investment Company (Simba) for $10,000,000 to fund projects within the Group. These projects included the completion of Protea by Marriott Skyz Hotel and working Capital for our ElectroMaxx power Subsidiary. The agreement had a 3- year Moratorium (freeze) for repayment of both the principal and interest.”

Patrick Bitature who was ranked among the top “five Ugandan Multi-Millionaires” by Forbes Magazine in 2012 has opened up on his wealth, applauding Sudhir Ruparelia for the mentorship.

Bitature in a video where he was recently giving an inspirational talk to a number of graduates said Sudhir helped him to master the courage to invest in the real estate sector and property.

“He held my hand when I was going into property and I was scared,” says Bitature, adding that at the time he had made some good money after investing in MTN Uganda but he had not expanded his business portfolio as it is today. He is quoted by PML Daily news website.

He says that one day after having lunch with Sudhir at Speke Hotel, “he held my hand and we went to Kyadondo, a Kampala suburb, where Sudhir showed him “three properties in the row” and “said buy them”.

Bitature, who didn’t have enough money at the time (all the properties were above Shs100M) wanted to decline the offer, but when he told Sudhir that he didn’t have money, Sudhir promised to lend him more and top up what Bitature had.

Bitature says that he partly felt Sudhir Ruparelia was trying to set him up.

Stories Continues after ad

URA relaxes warehousing restrictions on old vehicles

Car bond

The Uganda Revenue Authority (URA) Commissioner-General John Rujoki Musinguzi has said the tax body reviewed its earlier directive to remove motor vehicles dating nine years old or more from the warehousing regime to adopting a one-year reduction approach on warehousing regime for the motor vehicles.  

Musinguzi said during an engagement with used car dealers at the authority’s headquarters in Nakawa.

With the new measure, which takes effect on 1st July 2022, motor vehicles older than 13 years shall pay taxes while at the first ports of entry into the East African Community (EAC).

Musinguzi also resolved to reduce the warehousing period of motor vehicles aged nine to 12yrs, to only six months without extension. The current practice allows an importer to warehouse such vehicles up to nine months.

“Considering the current economic landscape and the geo-politics that has caused creeping inflation in the country, it is imperative that URA adopts a more gradual but progressive approach to the restriction of warehousing of used Motor Vehicles,” Mr. Musinguzi said.

He further told the car dealers, that URA recognised the effect of the current global inflation, which is still affecting businesses in all sectors, the approach to adopt changes in the warehousing regime ought to be reviewed.

In a notice issued on 1st April, 2022, the tax authority directed all importers of cars dating nine years old or more to undergo Customs clearance and pay taxes at the port of entry into the EAC before such vehicles are allowed into Uganda. This was to take effect on 1st July, 2022 for private motor vehicles excluding commercial ones.

Consequently, on 5th May, 2022, the importers, under their umbrella body, Used Car Dealers Association of Uganda, petitioned the URA Commissioner General expressing dissatisfaction with the directive.

In the petition, used car dealers were concerned about the directive’s impact on the re-export business. They noted that 5,000 vehicles are re-exported to South Sudan, Democratic Republic of Congo and Burundi. Marvin Ayebale, the association spokesperson, said 83% of the re-exported motor vehicles fall in nine to 15-year category. He added that if the URA directive is adopted, a close to Shs120 billion  business faces a threat since vehicles intended for re-export would have to be cleared at the ports.

The vehicle dealers also sighted the Covid-19 pandemic and the current inflation occurring globally as one of the hindrances which may not favour clearing the motor vehicles at the points of entry. The car dealers stressed that the business was greatly affected and measures that require more capital at hand put the fraternity at risk.

The used car dealers welcomed the new resolution on warehousing without extension and said it was a more accommodative measure as opposed to earlier directive that was entirely abolishing warehousing.

The URA’s initial directive on motor vehicles dating nine years or more was meant to avert revenue loss which was caused by warehousing of motor vehicles for a period up to nine months. Government revenue was being held by delayed warehousing of such motor vehicles.

Stories Continues after ad