KAMPALA – The former Chairman of Parliament’s Committee on Commissions Statutory Authorities and State Enterprises Abdu Katuntu has warned of serious repercussions if the governance issues between Central Bank governor Emmanuel Tumusiime Mutebile and his deputy Dr. Louis Kasendende are not solved.
Mr. Katuntu who chaired the Cosase committee that investigated and unearthed a rot at Bank of Uganda told MPs that a succession battle for the top position is the reason for day today scandals that are continuing to rock the institution.
The Bugweri County MP who called for an immediate swoop at BoU claimed that currently there are two factions at the central bank one led by the governor Emanuel Mutebile and another by his deputy Dr Louis Kasekende.
“If this fight amongst the factions is not stopped, be ready for serious repercussions,” he warned before entirely rejecting a government statement on the ongoing investigations at BoU presented by state Minister for economic planning David Bahati.
“It may lead to the collapse of the central bank if issues of governance are not hurriedly handled,” he added.
After poking holes into government statement, he then wondered why other agencies including the United Nations and businessmen have failed to respond to claims that they had some cargo on the chartered plane in question.
Mr. Katuntu while still the Cosase boss, his Committee noted a number of inconsistencies key among them, the declining performance of the Central Bank, closure and sale of the defunct Banks without any inventory or documentation and grossly undermining the legal procedures of bank closure by the Central Bank.
Speaker Rebecca Kadaga who chaired Parliamentary sitting on Tuesday June 25, gave government up to July 15 to produce a preliminary report into the currency scandal.