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Bail Granted to 3 Government Officials Charged with Shs 1.5 Billion Fraud in Kaliro 

Stephen Kalema by Stephen Kalema
8 months ago
in News
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Three senior government officials implicated in causing financial losses totalling over Shs1.5 billion to the Government of Uganda have been granted bail by the Anti-Corruption Court. The court session presided over by Her Worship Esther Asiimwe, saw the accused Rebecca Kwagala, Godfrey Mutome, and John Wabwire plead not guilty to multiple counts of fraud under the Anti-Corruption Act, Cap 116.

The officials, who held various financial and human resource roles in Kaliro District and the Ministry of Finance, Planning, and Economic Development, are accused of irregularly initiating, processing, and approving fictitious pension and gratuity payments between July 2018 and June 2022.

The detailed charges reveal seven instances of fraudulent activity. Payments of Shs111.7 million were allegedly funnelled to non-existent individuals through collusion by the three defendants. Additional charges highlight further fictitious payments amounting to Shs1.5 billion over four years, implicating each accused in varying capacities.

According to prosecutors Dr Ernest Katwesigye and Mr William Ntumwa from the Inspectorate of Government (IG), these alleged actions represent systematic abuse of office with intent to defraud the state.

In the January 24, 2025 court hearing, stringent bail conditions were imposed to secure the accused’s release. Rebecca Kwagala and Godfrey Mutome were each required to pay Shs 3 million in cash bail, with three sureties bonded at Shs 250 million (not cash). Meanwhile, John Wabwire was granted bail at Shs 2.5 million, with the same surety conditions. These bail terms underscore the seriousness of the allegations, reflecting the court’s efforts to balance the presumption of innocence with ensuring accountability.

The Inspectorate of Government’s case paints a picture of long-standing mismanagement in Kaliro District’s financial administration. Payments totalling Shs 607.7 million and Shs314.2 million were reportedly made to individuals who were either nonexistent or ineligible. As Principal Human Resource Officer, Accountant, and Chief Finance Officer, the accused allegedly exploited their positions to bypass checks and balances. The cumulative fraud amount, spread across multiple years, has raised concerns about systemic weaknesses in government financial oversight.

The pre-trial conferencing has been set for April 1, 2025, where the IG prosecutors are expected to present further evidence. Speaking on the matter, the IG emphasized its commitment to fighting corruption and recovering lost funds.

Meanwhile, legal experts view the case as a litmus test for the effectiveness of Uganda’s Anti-Corruption Court in tackling high-profile financial crimes. The accused face up to 14 years in prison if convicted under the Anti-Corruption Act, Cap 116.

The case has drawn widespread attention, with civil society groups calling for robust reforms to prevent similar incidents. “We need systemic changes that not only punish offenders but also safeguard public resources,” commented a representative from the Uganda Debt Network.


Do you have a story in your community or an opinion to share with us: Email us at editorial@watchdoguganda.com
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