KAMPALA, UGANDA – The Ministry of Finance is implementing comprehensive security upgrades to its IT systems to prevent a repeat of last year’s Shs53 billion heist, a move that comes as the ministry grapples with internal dissent and new allegations of wrongdoing.
The security breach, which involved the fraudulent transfer of funds meant for the World Bank and the African Development Fund to accounts in Tokyo and London, was a wake-up call for the ministry. An audit by the Auditor General revealed significant vulnerabilities, including the lack of basic safeguards like two-factor authentication for foreign transactions.
“The Auditor General-advised reforms have in part already been undertaken, but more specific ones will continue to be implemented,” said Ministry of Finance spokesperson Jim Mugunga.
A Cloud of Suspicion
While 10 ministry employees, including former Accountant General Lawrence Semakula, were arrested and charged in connection with the heist, sources inside the ministry suggest the full story has not yet come to light. Insiders claim a senior official, whom they describe as an “invisible hand,” may have been the mastermind behind the theft, with junior staff being used as scapegoats.
Mugunga would not comment on the allegations, stating that the ministry has handed the matter over to the police for investigation. “Our prayer is that this matter be left to the police to handle to a logical conclusion,” he said.
Internal Discontent and Questionable Projects
The unrest within the ministry extends beyond the financial fraud. Staff members are reportedly growing disillusioned with what they see as a lack of fairness in promotions and retirements, with some older staff receiving contract extensions while others are forced out.
Adding to the discontent is the construction of a new office complex, a project many employees view with deep suspicion. The building’s cost has more than doubled from the original estimate of Shs44.2 billion to nearly Shs94 billion, with multiple delays in its completion. During a parliamentary hearing in May, Undersecretary Edward Sengozi Damulira assured lawmakers that the building would be completed in five months, a timeline insiders believe is unrealistic.
When asked about the staff’s concerns, Mugunga stated that the ministry is a “competitive” workplace and that official procedures guide all appointments. He added that he was not familiar with the details of the construction project.
