NSSF speaks on alleged misuse of workers’ savings in Tondeka Bus project

NSSF board chairperson, Mr. Peter Kimbowa (PHOTO/Courtesy).

The National Social Security Fund (NSSF) has dismissed allegations that it’s Board Chairperson, Mr. Peter Kimbowa, has misappropriated workers’ savings through investment in the Tondeka Bus project.

In a statement issued on Thursday, January 26, 2023, NSSF described the allegations as unfounded and that it continues to safeguard the workers’ money in line with its investment policy.

“The Fund disregards any stories circulating concerning the alleged misuse of savers’ money in regard to the Tondeka buses. We continue to preserve members’ savings through prudent investments in line with our investment policy,” NSSF Head of Marketing and Communications Barbra Arimi said in a statement.

This comes after a whistle blower in a letter dated 18th January 2023 to the IGG, said there is possible misappropriation of workers’ funds by the board chair.

“Reference is made to the above wherein it has been reported in various media that you’re investigating corruption and abuse of office allegations at the National Social Security Fund. As a concerned member of NSSF, I wish this investigation to widen to include the activities of the chairperson of the board of directors Mr. Peter Kimbowa for the following reasons;” reads part of the letter

Among the reasons, the whistle blower says Mr Kimbowa, one of the Directors of Tondeka Bus Company had been promising Ugandans for over 10 years to introduce 100 buses in Kampala Metropolitan area which had not been fulfilled, until when he was appointed to chair the NSSF Board.

“In September 2021, Mr. Kimbowa was appointed chairman of the board of directors at NSSF. In mid-2022, Tondeka Metro Company finally put over 10 buses on the streets of Kampala.”

As such, the whistle-blower wants the IGG’s office to take keen interest in this matter and investigate it thoroughly.

IGG spokesperson Ali Munira confirmed that they received it and it’s before their office.

Addressing journalists on Wednesday morning, acting NSSF Managing Director, Patrick Ayota said despite the ongoing allegations of turbulence at the fund, they have performed well in the past six months and first part of the New Year 2023.

“In the past 24 days of the month of January, the fund paid out shs95.3 billion to over 3000 members compared to shs49.9billion to 1337 members in the same period in 2022,” Ayota said.

He added that as of December 31, 2022, the fund was worth shs17.88 trillion with fixed income contributing to 78%, equities at 15% and real estate at 7% whereas contributions increased by 22% from shs643billion in December 2021 to shs786 billion.

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