The Presidential Handshake lives on!

You would think certain scandals and certain ways of thieving the public funds would be died down. The stories would end and the beneficiary of these scandals want it to go away, as it taints their legacy and remaining words about their time as Public Officials, as Clerics and Civil Servants within the State. However, in the matter of the Presidential Handshake, this whole thing just getting more legs and doesn’t die. It is like the President is proud of his bribing ways and proving a point today.

As the NBS TV reports:

“The High Court in Kampala has issued an interim order stopping the Inspector General of Government (IGG) from investigating and forcing beneficiaries of the 6 billion shillings presidential handshake to refund the money” (…) “The public officials had received the money as a token for their role in the 400-million-dollar Heritage Oil arbitration case which Uganda won” (NBS Television, 13.07.2018).

It is like the whole charade was mocked by the legendary report calling it an ‘error’ but not a crime. To give away public funds to civil servants and public officials, as a handshake after winning a court case. It is like the state doesn’t care about their lack of transparency, as long as the cronies are funded.

My favourite quotes from the report published in May 2017 says:

“This “handshake” expenditure was not budgeted URA activity and therefore, a diversion of the UGX 6 Billion without lawful authority was contrary to the PFMA” (…) “H.E. The President’s approval of this “handshake” was bonafide. However, it was an error of judgement” (…) “That all funds paid out of URA account to the beneficiaries of the “handshake” should be refunded” (…) “The Executive should come up with a Bill within 90 days to regulate and streamline the Presidential Donations Budget” (COSASE, P: 45, 2017).

After my calculation were all well beyong 90 days and nothing fruitful has happen, except now the High Court are saying the non-budgeted and the error of judgement by the President is “okay”. They don’t even have to refund, while there is no bill to regulate or streamline any Presidential Donations Budget, because who would dare to cross the authority of the State House and President at this point of time. No one with a clear mind, who will not end up in prison or lose his or her livelihood.

This is a proof of how little power the Parliament have in the current state, as they cannot even look into or question the Presidential Handshake. They cannot even check into the sudden gifts and donations made by the President. Which is a substantial part of the State House yearly budget.

This isn’t funny, this is a mockery of all the ones paying added taxes and paying for state services, as they are being hold in contempt, where a certain amount of big-men and cronies within the state can eat directly of it, without any consequence. Who knows what else the President misuse funds on, right now? Peace.

Reference:

The Committee on Commissions, Statutory Authorities and the State Enterprises (Cosase) – ‘Report of the Committee on Commissions, Statutory Authorities and the State Enterprises (COSASE) on the Investigations into the Circumstances under which the reward of UGX 6 BN was given to 42 Public Officers who participated in the Heritage Oil and Gas Arbitration Case’ (May, 2017)

The Presidential Handshake report doesn’t say much, but it was a clear “error” by Museveni!

I finally got the whole COSASE report of the Presidential Handshake, what has been reported on my blog or page, has been comments of it. This time it would be direct quotes from the report that was put forward in Parliament from the Parliamentary Committee. That the President had an “error” was been weak, the whole ordeal was a bribe and the Committee didn’t have the courage to say so. Even as the position of every one was spelled out in the Report. Every single person paid out bribe was spelled out and the whole part of the allocation was broth to the daylight. Not that the insights was saying much new. But it still, shows how the President is controlling the Parliament and the use of funds. Since he was shocked of certain acts and that he was making it bonafide, but it wasn’t so. This story has been written back- and fourth.

Before more comments, let’s look at quotes from the report!

“The Committee was informed by the management team of URA led by the Commissioner General that before the final arbitration ruling, the Uganda Government team briefed Cabinet on the 19^th of November 2014 on the progress of the HOGL arbitration and H.E. the President promised to reward the team if they won the case” (…) “The Final Award on the merits of the arbitration was delivered on the 24^th February, 2015 wherein the full panel of three Arbiters agreed in favour of Uganda Government and dismissed the entire claim of HOGL and awarded USD 4,083,840 in cost. The then Attorney General Hon. Fred Ruhindi on the 13^th April 2015 (App. B1) wrote to H.E. the President reminding him of his promise to reward the team and requested him to consider a reward for noble team. He also attached a list of 24 proposed beneficiary” (…) “The Committee was informed that the Attorney General further led the Government team to meet H.E. the President at his country home in Rwakitura on the 17^th May 2015 where the victory in the Heritage arbitration case was among other things discussed. That the H.E. The President thanked the team and directed the Commissioner General of URA to propose an appropriate reward for the team. H.E. The President also guided that the other Public Officers who had tremendously Contributed to the success of the case but had not been included on the first list generated by the Attorney General be included too” (COSASE, P: 8-9. 2017).

“As a follow up to the H.E. the President’s letter of 16^th November, 2015, the Commissioner General of URA wrote to the Permanent Secretary/Secretary to Treasury (PS/TS) in a letter dated 11^th December, 2015 (App. B6) requesting him to formally designate her as accounting Officer through whom the reward would be paid and to formally requisition for the UGX 6,000,000,000 (Uganda Shillings Six Billions Only)” (…) “The Commissioner General, as advised and in a letter dated 5^th May 2016 (App. B8) sought authority from the Hon. Ministry of Finance, Planning and Economic Development to reallocate UGX. 6 Billion (Uganda Shillings Six Billion Only) from URA Tax Refund Account to URA Expenditure Account so that the 42 Public Officers could be paid and suggested that a supplementary to URA for that amount to be considered and handled by the Hon. Minister of Finance, Planning and Economic Development. The Hon. Minister of Finance, Planning and Economic Development did not grant this authority. However, by letter dated 19^th October, 2016 (App. B10) he requested the Auditor General to issue an audit warrant for UGX 6 Billion” (COSASE, P: 10-11, 2017).

“The Committee reviewed the budget for Financial Year 2016/2017, which was approved by the Board and subsequently appropriated by Parliament for URA activities and the UGX 6 Billion “handshake” was not budget for. The Committee further received evidence from the Board of URA to the effect that such money had not been provided for and they were hearing of that expenditure for the first time” (COSASE, P: 29, 2017).

“The Committee observers therefore:

1. That it is true that USD 157 Million, which would have accrued as part of the Capital Gain Tax, was waived.

2. The contention arose out of a clause in the PSA which provided for waiver of tax signed by the then minister Hon. Syda Bbumba.

3. That the dispute would not have arisen if the PSA did not have a waiver of tax.

4. The then Ministry of Energy, Hon. Syda Bbumba, did not have authority to waive tax in that transaction and her auction of not having read the agreement before signing was irregular.

5. All the then Ministry of Energy who signed PSAs with similar clause acted ultra vires the law” (COSASE, P: 44, 2017).

Conclusion:

“This “handshake” expenditure was not budgeted URA activity and therefore, a diversion of the UGX 6 Billion without lawful authority was contrary to the PFMA” (…) “H.E. The President’s approval of this “handshake” was bonafide. However, it was an error of judgement” (…) “That all funds paid out of URA account to the beneficiaries of the “handshake” should be refunded” (…) “The Executive should come up with a Bill within 90 days to regulate and streamline the Presidential Donations Budget” (COSASE, P: 45, 2017).

The Presidential Handshake has clearly showed the proof of how a visit at the Presidents farm in 2015 can lead-up to. President Museveni offered honorarium and bonuses to all the staff in the Tullow/Heritage Oil Tax Case, so all their work would benefit them. Without having it in budgets, without any votes or any sort of procedural activity, therefore it was an illegal allocation. That the Uganda Revenue Authority did allocations without proper actions, that the Ministry of Finance, Planning and Economic Development and Ministry of Energy all actors did wrong in this scenario. They misused the tax to their own benefit and the President allowed it to happen. Therefore, it is weird that the only thing the Committee concludes with a new legislation to stop it. Secondly, also refunds of the benefits for the civil servants and the NRM cronies. That the act was done without lawful authority, but that was well-known and not rocket science. IT was clear misuse of government funds to give someone an extra payday, which wasn’t allocated or had the proper legal stamp. Therefore, a clear bribe… not solicited funds which the state should pay their civil servants. Peace.

Reference:

The Committee on Commissions, Statutory Authorities and the State Enterprises (Cosase) – ‘Report of the Committee on Commissions, Statutory Authorities and the State Enterprises (COSASE) on the Investigations into the Circumstances under which the reward of UGX 6 BN was given to 42 Public Officers who participated in the Heritage Oil and Gas Arbitration Case’ (May, 2017)

Sekatawa claims the Presidential Handshake is Patriotic, I beg to differ!

The Ali Sekatawa, the Uganda Revenue Authority lawyer has this recent week addressed in his own way, the report from the Committee on Commissions, Statutory Authorities and State Enterprises (COSASE), that delivered the report on the Presidential Handshake to Parliament. This report spelled out the initial idea and talk of refunding the handshake back to URA, as the monies was commissioned correctly. Certainly, the Lawyer want to defend his responsibility and be part of illegal activity. Therefore, his defense is ridiculous, just take a look!

“According to Sekatawa, the committee selectively evaluated evidence leading to wrong conclusions on certain aspects and was populist in certain aspects. He says he is angry with the fact that the MPs and sections of the public are challenging the patriotism he and his colleagues exhibited while arguing the tax dispute against two British firms then involved in Uganda’s oil sector. Sekatawa is also challenging the fact that Parliament went ahead to adopt a report, which was not signed by all the members of the committee that investigated the matter. He is also of the view that Parliament has no authority to call on him and others that benefited from the bonanza to refund it because the money wasn’t given by Parliament” (URN, 2017).

I wonder if doing clerical work as your supposed to do in a government organization, that is collecting taxes is so patriotic. In the mind of Lawyer Sekatawa it apparently is. There are certain aspects that I have to dive in to, as he explanation is weak tea. I cannot let this one fly for the sake of foolishness. If there are someone who defends corruption, it should be the corrupt leader President Museveni. Not one of his cronies inside the URA. URA are working and following provisions delivered by Parliament and the President. They follow the guidelines and regulations of taxation that has been given. The same happen as the paperwork on the Presidential Handshake has leaked. It isn’t a secret, it is in the open.

The lawyer is clearly blind by brown-envelopes filled with money, instead of working as a civil servant. The civil servants are working for the state and are paid for their duty. The duty of working inside their offices and get their designated salaries. They are not supposed be bribed or misuse state funds for their own personal gains. That is what happen in the case of the Tullow-Heritage Oil Tax Case that gave monies to all that we’re a part of the court case. The civil servants that served the state and tried to get the ill-gained funds from the companies that was supposed to be part of the consolidation fund. A fund that are used to pay for government and state projects.

Instead, the government and the URA employees we’re served with a Presidential Handshake, that the state didn’t get it designated funds, but the civil servants who worked the case. Which is a bribe and direct looting of state coffers. It isn’t anything other than thieving, a petty theft and it was sanctioned by all the cronies. Not being patriotic trying to build a state, this was state officials and inner-circle of the state giving themselves a massive pay-raise without any procedure or protocol, feeding of a criminal case and foreign investors. Not trying to build a possible foundation or security of the funds, but dole it out to the willing and the ones who knew about the transactions.

The ones that photo-copied the paperwork, the ones that took the phone-calls, the ones that wrote on the settlement, the ones that argued the case in the United Kingdom and the ones that are loved cronies of Museveni. That isn’t patriotic, that is misusing and breaking down a system for personal gains. You don’t love your nation when you sponge of it, when you eat taxes, instead of using it on schools, health-care and other necessities.

Sekatawa doesn’t love Uganda, he loves the Presidential Handshake, he loves the MONEY. MONEY is what makes his world go-around and pays for his SUV and his mansion. He doesn’t love Uganda, he isn’t loving the Republic or the history. He doesn’t respect it’s constitution and it’s laws, when he defends bribes and corrupt behavior. That he benefited from. That is lie… a damn lie. A big fat LIE.

A Presidential Handshake isn’t patriotic, neither are bribes, they are petty theft of state reserves and state funds, that was supposed to go elsewhere, than into the pockets of ill-informed men and woman who liked to corrupted by the state itself. He needs to figure this out and get his mind out the fat corrupted brown-envelopes, maybe even try to figure out the real value of patriotism. Because this is not! Peace.

Reference:

URN – ‘URA lawyer to sue Parliament over Shs 6bn oil cash bonanza’ (24.06.2017) link: http://observer.ug/news/headlines/53523-ura-lawyer-to-sue-parliament-over-shs-6bn-oil-cash-bonanza.html

The Presidential Handshake Probe recommend the NRM regime to regulate the Presidential Donations!

In Uganda everything in Parliament and legislation are usually connected with the President in someway or another. President Yoweri Kaguta Museveni are usually involved in any sort acts and government affairs. It is well known that many decisions are taken directly at the State House or at either the NRM National Executive Committee (NEC) and the NRM Caucus. This are all directed by the President and usually contains his vision. So that the Parliament was probing the Presidential Handshake, that was like looking directly into the provisions given by the President. The President who has accepted to give to civil servants and other government officials. So here is the report from Parliament today!

“A House committee that inquired into the payment of Shs 6 billion to 42 government officials for winning a tax oil case in London wants the beneficiaries to refund the monies. Parliament’s Commissions, Statutory Authorities and State Enterprises (COSASE) committee was instructed by Parliament in January this year to investigate the payment of the monies to the officials, said to have participated in the arbitration case between government and Heritage Oil and Gas in a London court” (…) “In its recommendations, the committee has tasked government to come up with a bill within 90 days to regulate and streamline the Presidential donations budget. Parliament last month rejected a Shs 53.8 billion supplementary budget, which included the Shs 6 billion bonus payment to the government officials. The Budget committee, in its report, said the approval of the funds was deferred pending the COSASE probe conclusion” (Parliament Watch Uganda, 21.06.2017).

Clearly, like all things in Parliament and within government in Uganda are coming back to the Okello House, or President Museveni. He is always involved and has made decisions or took charge so it happen. The same happen with the Presidential Handshake, which he gave way to after seeing the letters in the case. That the beneficiaries are claimed to have to refund their money to the state, as it was supposed to be tax to fund the state. The money the state won was not supposed to become individual income for the individuals doing clerical work for Uganda Revenue Authority (URA) or anyone else.

Now the COSASE wants the state to restrict the Presidential Donations and the monies the President suddenly dole away. So they can monitor his giving ways and his use of state funds. Clearly this will put measures to follow the President and his acts. Certainly, he would not like this, because this could show some transparency and show where the funds the President are free to give-away. This is not something that seem like President Museveni doesn’t want to follow. Since if so, he is showing real governance and open government. He prefers running in backdoor agreements and brown envelopes to get legislation through the Parliament. If the Presidential donations are monitored, than the clear corrupt behavior will be in the open and COSASE would have a field day on the actions of the State House. Certainly, the 90 days will not be met and not be followed.

If so, than it will be water-downed legislation, which doesn’t have the power to question his authority. Just like the monitoring and probing into the Presidential Handshake. The Report today proved how little they can vindicate, and even show who is to blame. As the recommendation for regulation of the Presidential Donations will certainly not be something President Museveni would prefer. Peace.

Did President Museveni set-up Hon. Kabafunzaki for the three counts of corruption?

“It is the responsiblity of every human to know their actions and the consequences of their actions and to ask questions and to question things when they are wrong.”– Michael Moore

As it been told by the unraveling stories on the corruption scandal landing our way, is that Herbert Kabafunzaki went into a trap at the Serena Hotel, where everything was prepared, even the camera’s and the media was there at the arrival. As the Police Officers was the closely monitoring if he would eat the monies offered by the Aya Group. What makes me suspicious is two new revealed things, not the three counts but this.

“Kabafunzaki charged on three counts of corruption for soliciting a Shs.15M bribe and directly accepting 5M bribe in exchange for clearing Mohammed Hamid from allegations of sexual harassment” (NTV Uganda, 11.04.2017).

So with the knowledge of the counts of corruption put on the State Minister Kabafunzaki, as he is lingering in Luzira Prison. This revelation in New Vision earlier if true, show’s that it is something missing right now: “He was allegedly arrested with an envelope containing the money by a combined team of Special Forces Command and Police at around 3pm” (…) “Hamid said President Yoweri Museveni was informed about the minister’s demand from which Police was tipped” (Lumu & Etukuri, 2017).

Three key aspects here, that should not be put under the rug. That the businessman himself, the one who needed to clear his charges of possible sexual assault tipped of the President. That means that the President himself called the Special Force Command, the group that has been run and become his Maj. Gen. Muhoozi unit inside the army and than also tipping the Police Force. This shows how little institutions and how little care there is inside the Security Organizations. That they follow the orders of the President blindly.

Secondly is that the mixed Special Force Command, army personnel are together with Police while arresting a fellow Minister and State Official. That they are there without warrants and for-warning. Thirdly, which are mysterious, that the Aya Group has the direct-line to the President. Also shows how license and business in general is operated in Uganda. That the foreign investors are directly in the loop of the President!

“Counsel Kenneth Muhangi (Kabafunzaki’s lawyer) has presented three sureties as requested by court for Minister Kabafunzaki’s bail application. State prosecutor asks court for stringent bail terms including hefty amounts of money, passport & a land title. State prosecutor also wants Minister Kabafunzaki to report to court weekly if granted bail” (NBS TV Uganda, 11.04.2017).

So the Minister set for Luzira is really in a pickle and has a few hefty nuts to crack. This corruption scandal and Aya Group ordeal will be hard stain to wash off. Hon. Kabafunzaki can clearly look guilty and can be determined after the evidence to set so as well, but the idea that the President knew from Aya Group’s own Hamid, the man paying the bribe. Says something is wrong. Why would the one fixing the bribe and the payment of the Minister keep the President in the loop? Why? Secondly, why aren’t the Aya Group and Mohammed Hamid charged with trying to corrupt a fellow State Official?

His P.A. pleads guilty:

“Brian Mugabo, the political assistant to Minister Herbert Kabafunzaki, pleads guilty of the charge of accepting a bribe of Shs5m from AYA brothers, on behalf of the minister and trying to make the minister escape punishment by throwing away the Brown envelop that contained the bribe” (Wesaka, Anthony – Daily Monitor, 11.04.2017).

So that the PA didn’t ask for guidance or even advice before the trial, as the Minister brought his set of lawyers, as the PA did say he was guilty of accomplice from the get-go. Makes the whole events seem stranger. Have the PA already made a plea-deal and made sure his future is set, as he did fix the set-up for the State Minister? Since the Personal Assistant usually keeps the diary and the other needed administrative tasks a Minister needs. Therefore, he knew what was happening at Serena Hotel and who he was meeting.

What still, doesn’t stop pumping in my chest, as the bets are off and the trials are really starting. Why did the Aya Group report to the President Museveni before the arrests and reveal the corrupt behavior of the Minister?

Because the counts shouldn’t only be on the State Minister and his PA, why isn’t their any case against the company who planned to alter the sexual assault case with him. Not that I want this minister free as the tapes and the revealed evidence to the public. There are many lose leads… there are many things leading one direction. But will the State House and the President say why they intervene and make arrangement for this too happen. That is how it looks and it is weird that these conclusions can come. Since a President should have better things to do, than to incriminate a fellow Parliamentarian… Peace.

Reference:

Lumu, David & Etukuri, Charles – ‘Minister Kabafunzaki arrested for soliciting bribe’ (08.04.2017) link: http://www.newvision.co.ug/new_vision/news/1450604/minister-kabafunzaki-arrested-soliciting-bribe

Opinion: “Presidential Handshake” Vs “Bribe”; Why is one legal and the other illegal?

There are something serious malfunctioning in the National Resistance Movement (NRM), their whole operation and their idea of Government. The reason why is a Minister is now caught in the mix, though strange that he is in hot-water. Why do I say that? Since this is the government that has sanctioned the Presidential Handshake, the billing of profits from the Tax Case with Tullow Oil. So for me this is weird, that this one get illegal, while the other get rubber-stamped by the same government. Like a rabbit isn’t a rabbit, that these two is two of a kind. Take a quick look!

“Days after the story of this accusation went public, police on Saturday arrested and detained three people including a State Minister, for allegedly receiving a Shs30 million bribe from the businessman” (…) “The police this afternoon arrested Hon. Herbert Kabafunzaki, the state minister for labour, employment and industrial relations who is also the MP Rukiga County in Kabale district. He is arrested together with Mr Brian Mugabo, a clearing agent. He was allegedly soliciting a bribe from the proprietor of Aya Group,” Mr Kayima said in a statement” (Monitor Team, 2017).

Can someone please tell me difference between Aya Group and Tullow Oil, certainly different types of businesses and also reach. That Tullow Oil got middlemen inside the Uganda Revenue Authority and got accepted through all forms of government before the corrupt arrangement of the Presidential Handshake, but why doesn’t Hon. Kabafunzaki get off the hook, when half of the civil service and the leadership involved in the handshake gets to kiss ass. There are something unjust about the whole case.

“When contacted to confirm or deny president Museveni’s involvement in the arrest of the minister, Senior Presidential Press Secretary Don Wanyama said: “When the President said this is Kisanja Hakuna Mchezo this is what he meant. The message is clear, the fight against corruption has been taken to a new high and there are no sacred cows. Once you’re involved, you’ll be arrested irrespective of position. Corrupt government officials have been put on notice.” (Monitor Team, 2017).

It is ironic and strange to see the President involved in it and taking a strong stance on it, as he government and his officials are let’s say bluntly very corrupt. His former cronies like Gen. Jim Muhwezi and Amama Mbabazi was often on the list of most corrupt men in East Africa. Therefore, these words coming from Okello House is not really trustworthy, as the big business and decisions comes from the State House before they are sanctioned. So if the grand-corruption is appearing, than the President has said “Okay” and signed the agreement.

When we see stuff like this now, we know that if there are grand corruption or corrupt behavior it is either sanctioned by the State House or not accepted by the NRM cronies. Therefore, if they are arrested it is to make the world believe that the institutions works against this sort of economic transgression in society. For people like me this is not believable, that the NRM Regime cares, as the corruption scandals and the people walking free in mansions bigger than malls. So why should we mind?

Well, as long as the Presidential Handshakes are accepted and a way of giving illegal bonuses, which is a sort of corruption and eating of the state coffers. Why should this 30m shillings be an issue? Peace.

Reference:

Monitor Team – ‘Sex scandal adds twist to Minister Kabafunzaki’s arrest’ (08.04.2017) link: http://www.monitor.co.ug/News/National/Minister-Kabafunzai-arrested-taking-30M-bribe/688334-3882728-lr2slwz/index.html