Advertisement

Mabirizi sues government over Shs1.3 trillion Lubowa hospital loan

Sunday March 24 2019
Lubowa

A concerned city lawyer has petitioned the High Court in Kampala, seeking its orders to quash the resolution of Parliament in approving a Shs1.3 trillion loan set to be extended to an investor FINASI/ROKO to construct a specialised hospital in Lubowa, Wakiso District.


Mr Male Mabirizi Kiwanuka in his lawsuit avers that the process of passing the said resolution by Parliament was tainted with illegalities, including lack of quorum of MPs.


“The Speaker of Parliament acted ultra vires, illegally and with material irregularity when she put the motion to vote yet Parliament lacked the required quorum of one-third of all the members,” Mr Mabirizi contends in his court documents.


“… The resolution is unreasonable, unfair and contrary to common sense and uncalled for burden on the taxpayers of this country,” he adds.


Mr Mabirizi argues that Parliament approved $371.71 million (about Shs1.37trillion) and yet the total construction project as per the direct agreement is estimated at approximately at $ 366.436 million (about Shs1.35 trillion), leaving an accounted for gap of $12.274 million (about Shs45.5 billion).


“It’s probable that the said unaccounted for gaps of monies are intended to cover for corruption expenses,” he argues.

Advertisement


The petitioner also claims that the beneficiaries of the guarantee were hand-picked without any due process of determining their capabilities and credibility in comparison to other players in that construction field.

Parliament on March 12, approved a request by government through the Finance Ministry to issue Promissory Notes (financial government guarantee) not exceeding $379.71 million (Shs1.4 trillion) to FINASI/ROKO construction for the financing of the international specialised hospital of Uganda at Lubowa in Wakiso District.


Earlier this week, doctors under their umbrella, the Uganda Medical Association headed by Dr Ekwaro Obuku, while addressing the press, asked President Museveni to reconsider Parliament’s resolution and instead divert the Shs1.3 trillion to finish the renovation of Mulago National Referral Hospital.

By press time on Friday evening, court had not yet summoned the Attorney General, who is the chief legal adviser of government, to file in his defense.

Advertisement