The High Court in Kampala has issued an order demanding that the Auditor General conducts an audit of UTL soon as possible and avail the creditors with the audit report.
The court order, which was issued on August 9th, 2019 by Justice Musa Sekaana, arose from case file number 226 of 2019, which Uganda Broadcasting Services (UBC), one of the telecom’s creditors, dragged UTL to court, seeking permission to conduct the audit, which has since been frustrated by several government officials.
Giving his ruling in the presence of Christine Mpumwire, Counsel for the Applicant and Nuhu Wadembere, Counsel for the respondent, Justice Musa Sekaana ordered that “an audit be carried out on Uganda Telecom Ltd-in Administration by the Auditor General (John Muwanga) within a period of Thirty (30) days from the date of this order.”
He added that the Court shall give further guidance when called upon.
Ms. Anite Evelyn, the State Minister of Finance for Investment and Privatization reacting to the ruling triumphantly said: “I thank Justice Musa Sekaana for a ruling affirming my demand for Auditing UTL and Presidential directive on the same.”
“There is authority in this country and no amount of maneuvers can defeat the right and cause for people of Uganda.”
She added on her Twitter handle: “I am optimistic the Auditor General will undertake this assignment with immediacy as directed by the court and also thank all Ugandans who have been in the fight with me.”
It is worth noting that the auditing of UTL has faced resistance since on Minister Anite asked for it over a month ago, with the Attorney General Mr. William Byaruhanga, his deputy Mr. Mwesigwa Rukutana and Secretary to the Treasury Keith Muhakanizi all opposing her.
Mr. Muhakanizi this week directed that the audit on activities of the Uganda Telecom Limited (UTL) be halted.
Mr. Muhakanizi, who doubles as Permanent Secretary Ministry of Finance wrote to the UTL Administrator Bemanya Twebaze on August 2nd d asking him to halt the audit process as was directed by Anite because there is an ongoing court process.
“Reference is made to a letter from the Internal Auditor General dated 31st July 2019. Further reference is made to letters dated July 31, and August 1, 2019 from Uganda Broadcasting Corporation (UBC) a creditor of UTL, indicating inter alia, that they have filed Miscellaneous Cause No. 226 of 2019 in the High Court for an order that the Auditor General be appointed to audit your activities in the Administration of UTL,” reads part of Muhakanizi’s letter to Bemanya dated 2nd August 2019.
Earlier in a letter dated July 16, President Yoweri Museveni directed Anite to carry out an audit in the activities of UTL, citing some allegations made against the managers of the Telecom.
“Arising from H.E the President’s letter ref: PO/10 dated 16th July 2019 addressed to me, to institute an audit of UTL activities, I’m accordingly directing you to conduct an internal audit of UTL activities and evaluate the state of affairs within a period of one month,” reads Anite’s letter dated July 24, 2019.
She further cautioned that the internal audit on UTL must be comprehensive to confirm or clear the allegations before President Yoweri Kaguta Museveni.
UTL is indebted to the tune of over UGX500bn.
