Parliament committee recommends for a forensic Audit on all transactions of NSSF.

In Summary
  • The audit general should report to parliament with in 60 days from the adoption of the report.
  • Minister Amongi told to resign in public interest.
  • The committee recommended that the NSSF board be dissolved with immediate effect.
  • NOTU and COFTU  refund the 806 million shillings they illegally received from NSSF.
MBARARA CITY SOUTH MP MWINE MPAKA
MBARARA CITY SOUTH MP MWINE MPAKA
Image: courtsey photo

The  Adhoc committee of parliament  that investigated the  mismanagement of funds in NSSF  has recommended that the minister for Gender,Labour and social development  Betty Amongi resigns with immediate effect in public interest. 

The report presented  by the committee chairperson also Mbarara city Mp Mwine Mpaka observed that Amongi  exerted political pressure on the former executive director Richard Byarugaba when  he refused to provide the 6 billion shillings she requested to fund the  activities of her ministry. 

The report say that by the minister directing 6 billion to be availed to her ministry amounts to abuse of office since she is the supervisor of NSSF and had no law empowering her to do.

Mpaka said that this did not only contravene the best principals of cooperate Governance but also amounted to undue influence on decision making process to the board.   

``The acts of the Minister were illegal and appear to contravene  section 4 of the NSSF act which obligates the board to ensure that there is secure ,profitable and effective financial management of the fund for the workers at large." Mpaka reports. 

She is even accused of purportedly forcing the former MD Richard Byarugaba to resign before his term of office expired as advised by the attorney General. 

The committee has asked president Museveni to be keen on her.

The committee also recommend that former ED Richard Byarugaba, acting ED Patrick Ayota, chief finance officer Steven's Mwanje, Head of marketing and corporate affairs Barbra Arimi Teddy step down for abuse of office, corruption and conspiracy to commit a felony when they participate in the illegal approval of 1.8 billion shillings budget for donations. 

The committee also recommends that National Organization of Trade Unions (NOTU)  and Central organization of trade unions (COFTU)  refund 806 million shillings they illegally received from NSSF especially Violet Kyakyo who withdrew 461.5 million shillings from an account on behalf of NOTU and Dr Sam Lyomoki who withdrew 295 million shillings on behalf of Central Organization of free trade unions.

The committee also recommend that the auditor general carry out a forensic Audit on all transactions on the suspense accounts for the past five years and reports to Parliament within 60 days from the adoption of this report.

The committee also observed that the deferral of the appointment of the NSSF Managing director is causing a managerial gap subjecting the savers fund at risk. 

The committee noted that less than one year, after transferring the NSSF to the Ministry of Gender, Labour and social development ,allegations of corruption, influence peddling and delayed decision making scandals are back to hunt the savers funds. 

A report by the select committee on the State of affairs at the National Social Security fund has to have the supervision of this fund reverted back to Ministry of Finance, Planning and Economic Development. 

They have also recommend that the 12 member NSSF board be dissolved with immediate effect and new board be appointed.