President Museveni who doubles as the commander in chief of armed forces has ordered CMI, CID, State house anti corruption unit, ISO, Director of public prosecution DPP to investigate Keith Muhakanizi the permanent secretary ministry of finance and other top officials from the ministry over conniving with Democratic Governance Facility to finance subversive activities and has ordered for the suspension of DGF activities in Uganda.
In a letter dated January /02 / 2021, Museveni says he needs answers as to why and how the Ministry of Finance authorized a £100 million (shs500.8 billion) fund to operate illegally in the country without the involvement of cabinet.
“It has come to my attention that the Ministry of Finance under the hand of the Permanent Secretary, irregularly and unilaterally authorized a £100 million fund, known as the Democratic Governance Facility, to be operated exclusively by a foreign mission in Uganda,”Museveni’s letter reads apart.
Museveni in his letter adds that unlike prior grant arrangements like the Democratic Governance and Accountability project in which there was transparency and representations the Government of Uganda has no say or oversight on how the Democratic Governance Facility is administered in Uganda.
Museveni adds in his letter that over 80% shs500.8 billion financed activities and organizations meant to subvert government in the name of the improving governance.
However the president says he can’t accept adding that all the people involved must account for their actions.
Museveni adds that however Ministry of Finance tried to get a representative on DGF’s board, they were “arrogantly) rebuffed by the foreign mission after being reminded that the exclusive management of the fund lies with them (DGF) and oversight is by the foreign funders exclusively.
The President says it is baffling how this state of affairs was allowed to happen under Muhakanizi’s hand yet it was unfair to government.
“How is it possible that the Ugandans, whose affairs are being dealt with here, can only be spectators in the management of their own affairs?” Museveni’s letter reads.
The head of state also wondered how and why did the finance ministry unilaterally make such a major decision with far-reaching consequences without informing the cabinet and me saying that one whose effect is to surrender the sovereignty of the people of Uganda to foreigners.
“Was this a result of subversion, corruption or criminal negligence or all of these and Why wasn’t the Cabinet and I consulted,” angry Museveni wonders.
Museveni also said that this is not the financing of a private business but the funding of state and non-state actors to achieve the political objectives of the funders in Uganda.
“I am therefore directing you to immediately, suspend the activities of this fund, until the cabinet has fully reviewed this matter and a new governance structure in which the elected representatives of the people of Uganda have appropriate oversight, has been put in place and approved by me.”