Warning: Trying to access array offset on value of type bool in /usr/www/users/urnnet/a/story.php on line 43
UGX 663Bn Unpaid Court Awards Shock MPs :: Uganda Radionetwork
Breaking

UGX 663Bn Unpaid Court Awards Shock MPs

Top story
“I also noted that in several court cases ruled against government by decision of court or by consent of the Attorney General, court awarded interest ranging from 2 percent, 6 percent to 25 percent and even up to 40 percent. I further observed that as a result of government’s failure to pay these court awards on time, the awards have accumulated interest over time and in some instances the interest has exceeded the principal award,” reads the audit report.
22 Aug 2019 16:49
Solicitor General Francis Atoke, the Justice Ministry Principal Accountant James Oundo appearing before PAC.

Audio 2


Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in /usr/www/users/urnnet/a/story.php on line 663
The Public Accounts Committee-PAC has expressed shock at unpaid court awards and compensations worth Shillings 663.9 billion. The matter came up during an interface with Justice Ministry officials led by the Solicitor General, Francis Atoke and Deputy Solicitor General Christopher Gasirabake.  

They were appearing to respond audit queries raised by the Auditor General in his Audit report for the financial year ending June 2018. In the report, the Auditor General, John Muwanga queried the Shillings 663.9 billion domestic arrears, unsettled court awards and compensations of Shillings 655.1 billion and liabilities for goods and services consumed, rent and others totaling Shillings 8.8 billion.

“I also noted that in several court cases ruled against government by decision of court or by consent of the Attorney General, court awarded interest ranging from 2 percent, 6 percent to 25 percent and even up to 40 percent. I further observed that as a result of government’s failure to pay these court awards on time, the awards have accumulated interest over time and in some instances the interest has exceeded the principal award,” reads the audit report.

According to Muwanga, delays to settle the court awards and compensation obligations have resulted into government accumulating interest totaling to Shillings 123.6 billion on the principal amounts for payment of cases over 10 years. Responding to the query, Atoke said that if government was a private enterprise it would have been bankrupted by interest incurred on the outstanding court compensations.

When quizzed by PAC Chairperson, Nathan Nandala Mafabi on why the Ministry continues to pile up the outstanding commitments, Atoke stated that his ministry is suffering for the actions of other ministries and departments that cause liability to government through their reckless conduct.  

Atoke said his Ministry only comes in at the tail end when it’s too late to save the situation.  He disclosed that 99 percent of the arrears are through breach of contract on multi-billion projects by other ministries.

He told MPs that the best course of action was to make the respective Ministries, Departments and Agencies-MDAs that cause a liability to government to pay the court awards from their own budgets.   

//Cue in: “but in the…

Cue out:…of Article 250.”//

Mbarara Municipality MP, Michael Tusiime quizzed him on why he didn't include this in his response since it affects his certificate of compliance. Atoke stated that it is a remedy that is being bitterly opposed by other Ministries who insist that it is the duty of the Justice ministry to pay.

He, however, revealed that the decentralization of court awards was effected on 1st July, 2016. However, he says they still have to pay the arrears and interest accumulated before this date. 

//Cue in: “it didn’t come…

Cue out:…30th June 2016.”//

Mafabi asked him to segregate the arrears indicating the various commitments incurred by the respective ministries and departments and present a list to the committee.  

Support us


Images 1

Keywords