MPs Want Mutebile Dismissed for Ruining Banking Sector

A section of Members of Parliament has called for the immediate dismissal of Central Bank Governor Emmanuel Tumusiime Mutebile and his Deputy Louis Kasekende for failing to execute their mandate in the running the banking sector.

The legislators made the demand during the debate of a report compiled by the Commissions, Statutory Authorities and State Enterprises (COSASE) Committee of parliament, after a probe into irregular operations in the Central Bank as well as the controversial closure and sale of the Commercial banks over the years.

The affected banks that were closed between 1993 and 2016 include Teefe Trust Bank, International Credit Bank Ltd, Greenland Bank, Uganda Co-operative Bank, National Bank of Commerce, Global Trust Bank and Crane Bank Ltd.

In the report to parliament, COSASE faulted Central Bank for the flawed closure of the banks, in the absence of inventory reports, liquidation reports, minutes and a lapse in security that could have led to the theft of vital documents. Bank of Uganda was also faulted for selling assets at a discount.

On the basis of the findings, MPs recommend that all Central Bank officials who participated in the process of closing the banks without adhering to the law be dismissed, prosecuted and made to compensate for losses that could have been incurred, as a result of their actions.

Kabweri County MP Francis Barnabas Gonahasa demanded a change in the entire leadership of the Central Bank and recommended the engagement of neutral investigators like the Scotland Yard to ascertain the extent of losses incurred by the irregularities.

Jonam County MP Emmanuel Ongiertho Jor also shared the same sentiments saying that officers who did not carry out their mandate properly be suspended immediately.

Lira Woman MP Atim Joy Ongom blamed Central Bank Governor Emmanuel Tumusiime Mutebile for failing to supervise his subordinates and putting the institution into disrepute.

Soroti Municipality MP Herbert Ariko questioned how the Central Bank ascertained the value of International Credit Bank (ICB), Teefe Trust Bank and Global Trust Bank (GTB) in the absence of inventory reports. He demanded that the Central Bank compensates shareholders of the affected banks.

Agago Woman MP Akello Judith Franca also demanded that whoever is responsible for the irregularities in the closure and sale of the defunct banks takes personal responsibility including repaying back money that was lost during the discharge of their duties. She said that the current Bank of Uganda Board should be disbanded.

However, Nansana Municipality MP Robert Kasule Ssebunya equally faulted his colleagues for debating as if the commercial banks were free of fault. He adds that parliament must not stampede Bank of Uganda in whatever decision it chooses to take.