Uganda Arrests Treasury Officials After Central Bank Cash Heist

In a significant development, Ugandan authorities have arrested nine high-ranking government officials, including top personnel from the Ministry of Finance, in connection with the infamous Bank of Uganda (BOU) heist. The suspects were named as part of an ongoing investigation into the fraudulent diversion of millions of dollars meant for international development aid.

The case revolves around a payment of $6.134 million (22.3 billion Ugandan shillings) intended for the World Bank’s International Development Association (IDA), which provides credit to the world’s poorest countries. Instead of reaching its rightful destination, the funds were illegally redirected to a bank account in Tokyo, Japan.

Authorities have intensified efforts to uncover the full extent of the fraud, with the Ministry of Finance pledging full cooperation in the investigation. The Secretary to the Treasury, Ramathan Ggoobi, stated that the ministry has provided all necessary support to the investigating authorities. He also assured that the ministry remains open to any further inquiries from law enforcement agencies.

The arrest of the officials marks a significant step in the fight against financial fraud in Uganda, as authorities work to recover the stolen funds and bring those responsible to justice.

The accountant general, Lawerence Semakula, and eight other suspects have been arrested over allegedly orchestrating a $17m (about Shs 60 billion) heist at BOU. The money mysteriously disappeared from BOU in September 2024 and ended up in foreign accounts in the United Kingdom (UK) and Asian countries. Since then, the Criminal Investigations Directorate (CID) in collaboration with Defence Intelligence and Security (DIS) formerly Chieftaincy of Military Intelligence (CMI) has been interrogating various individuals from BOU and ministry of Finance.

The CID and DIS probe has zeroed in on nine individuals who orchestrated the hoax payment of a purported contractor and instructed BOU to disburse the money. Others arrested are Jennifer Muhurizi, Mubarak Nansamba, Paul Lumala, Mark Kasuku, Judith Asaba, Deborah Kusiima, Tonny Yawe, and Priscilla Nayebare.

It is not clear what role each of the suspects played in the theft of Shs 60 billion. BOU money heist was first described as a hacker’s handiwork which was later disproved by CID’s. Once CID discovered that it was not hacking but a well-orchestrated fraudulent payment, President Yoweri Museveni directed DIS to join the probe.

By the end of last year, at least 21 staff at BOU, ministry of Finance and the accountant general had been interrogated, and their electronic gadgets including mobile phones and laptops confiscated and subjected to examination. Through interaction with various sources discovered that out of the Shs 60 billion, BOU was able to recover more than half of it through engaging UK banks. However, BOU was unable to succeed in recovering money that ended in Asian countries.

There is also a probe clue that the money that is said to have ended in Asian countries was actually withdrawn and clandestinely returned to Ugandan beneficiaries in cash or items procured for them. All this information will be proved or disproved by the evidence that will be tabled in court during the trial of the suspects.

The arrest of these high-ranking officials is a clear indication that the Ugandan government is committed to rooting out corruption and financial fraud within its ranks. As the investigation continues, it is crucial for the authorities to ensure a fair and transparent process, as well as to take measures to prevent similar incidents in the future. The public should also be kept informed of the progress made in the investigation and the eventual outcome of the trial.