Millions of pounds in foreign aid to Uganda have been funneled into
private bank accounts of workers in its prime minister’s office.
'Missing money': Britan and Ireland have frozen all aid payments after £10 million meant to help the Ugandan population ended up in accounts belonging to staff of Prime Minister Patrick Amama Mbabazi
The money was meant to have been spent on helping the needy in the
poverty-ravaged African nation. But instead the 12million euros (£10million) –
a joint gift from Ireland, Norway, Denmark and Sweden – somehow wound up
in accounts belonging to aides of prime minister Patrick Amama Mbabazi. No
British money was taken but last night Whitehall officials said they had taken
the precaution of suspending British aid payments of £4million-a-year to Mr
Mbabazi’s office. In total, Britain is sending £98million this year to Uganda,
most of which will continue.
The apparent fraud was discovered when the Irish government was told by
Ugandan auditors that the 12million euros had gone ‘missing’. The sum – of
which Ireland’s contribution was 4million euros (£3.2million) – was supposed to
have helped pay for a ‘peace recovery and development programme’ in northern
Uganda after decades of conflict and devastation. Ireland immediately halted
further payments to Uganda pending investigation. A political storm is now
raging in Dublin, with Irish foreign minister Eamon Gilmore branding the
apparent theft ‘intolerable’. He announced there would be no more money for
Uganda ‘unless it is clear Irish money is being spent for the purpose for which
it was allocated’. The Irish ambassador in Uganda, Anne Webster, has met
government officials to demand the money be repaid.
'Intolerable': Irish Foreign Minister Eamon Gilmore, seen here at the Irish Labour party conference, announced a suspension of all Irish aid money to Uganda
A Department for International Development spokesman said: ‘We take
these allegations extremely seriously and have already suspended UK aid to the
Office of the Ugandan Prime Minister. We have set up an independent audit to
investigate alleged fraud.’ A DfID source said: ‘Aid to the office of the Prime
Minister is entirely separate from our general budget support to the Ugandan
government. ‘If money has been misused, we will expect immediate repayment and
will take all necessary action to protect our funds.’
Previous fraud: British aid money helped buy a £30 million Gulfstream jet for Ugandan president Yoweri Museveni, it was revealed last year
Mr Mbabazi has publicly apologised to Ireland. He insisted: ‘I didn’t even know. No money was ever paid to me and I never handle money. ‘As the prime minister I don’t handle money of government at all, ever.’ He pledged prosecutions and said two senior officials had been charged – one of whom is the chief accountant –and 17 suspended without pay while the investigation continues. The apparent fraud was uncovered by Uganda’s own auditors. Mr Mbabazi maintained that, although the missing money was discovered in private bank accounts, not all of it was ‘misappropriated’ but merely ‘irregularly managed’.
Critique: Peter Bone, Tory MP for Wellingborough, said aid should have been stopped sooner
Last year it was revealed British aid money was used to buy a £30million
Gulfstream jet for Uganda’s president, Yoweri Museveni. The autocratic
67-year-old leader – who was criticised after he launched a violent crackdown
against democracy campaigners – bought the plane while millions of his
countrymen struggled to feed themselves. The latest revelation will reignite
the row over British families being asked to fork out higher taxes to pay for
aid. Peter Bone, Tory MP for Wellingborough, said: ‘People in my constituency
simply do not understand why we are giving money desperately needed at home to
a corrupt regime. ‘It’s good DfID have taken action but they should have done
their checks much, much earlier. ‘Uganda is not the only corrupt regime out
there. I’m afraid to say it is largely endemic with some of our overseas aid.’ It
was recently revealed Britain’s aid budget is rising so fast the Tories will
enter the next election spending more on international development, which is
immune from austerity cuts, than on the police.
Daily Mail UK
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