Speaker arrested over sh1m loan for Emyooga

Deputy Speaker Rubanda District Pierre Mbabazi Being Arrested

By URN

The Police in Rubanda district have arrested the deputy speaker of the District, Pierre Mbabazi Nyetegyereize and two others for alleged mismanagement of funds meant for the Kabale journalists Emyooga SACCO.

Mbabazi, who doubles as the Hamurwa sub-county LC V councillor was arrested on Monday for fraudulently acquiring a loan of Shillings 1.2 million from the journalist’s Sacco yet he is not a journalist. 

He was arrested together with Moses Henry Tahoreraho, the Executive Director of Western Media Wards and Bright Manure, the Treasurer of Kabale Municipality Journalist’s Emyooga Sacco.

Kabale Resident District Commissioner, Darius Nandinda ordered the trio’s arrest for their involvement in the alleged mismanagement of Shillings 36 million dispatched to the journalist’s by the government as start-up capital.

It all started after Kabale district commercial officer Erasmus Natuhamya presented an audit report indicating gross mismanagement of Kabale journalists’ emyooga Sacco.

He revealed that there was no clear record of the money used since the SACCO didn’t have cashbooks, payment vouchers and receipt books.

He also noted that the SACCO chairperson Tahoreraho had usurped all the powers of the annual general meeting, the board, and the executive, vetting and supervisory committees.

Natuhamya also revealed that Tahoreraho used his position to recruit non-journalists into the SACCO as well as disbursing loans to the members without making any consultations.

He suggested that the SACCO members elect another board as soon as possible following the arrest of Tahoreraho and the treasurer.

Nandinda said that the suspects would remain in custody until their relatives pay back the money to the SACCO account and present bank slips to the Police.

Shortly after his arrest, Tahoreraho claimed that he was denied a fair hearing and accused the RDC of harassment. He admitted that the SACCO comprises none media professionals, arguing that they didn’t get sufficient guidance.

Members of the SACCO executive distanced themselves from Tahoreraho’s financial report, detailing the expenditure of the 36 million shillings.

 The executive secretary, Andrew Amanya, Binyindo, said Tahoreraho denied them access to any of the sh36. The executive secretary, Andrew Amanya Binyindo said Tahoreraho denied them access to any documents regarding the disbursement of the SACCO funds.

This is not the first time RDC has ordered the arrest of people involved in the mismanagement of Kabale municipality journalists Emyooga SACCO.

In July this year, Nandinda ordered the arrest of Tahoreraho and his executive after members accused them of mismanaging their savings.

Others alleged that Tahoreraho was asking for bribes before enrolling them into the SACCO and issuing them loans.

Following investigations into the management of emyooga funds in Kabale Municipality about a week ago, the area Member of Parliament Dr Nicholas Kamara said there was a possibility that the funds would never be recovered because they didn’t have any clear system for loan repayment.

Dr Kamara told the media that most SACCOs had failed to follow guidelines of giving out loans, by the time of filing his report, no borrower had returned any money to his or her respective SACCO.

Records from Kabale microfinance support centre received sh1.6 billion from the government and disbursed sh560 million to SACCOs in Kabale municipality.

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