Five top managers of Bugisu Cooperative Union have been suspended from office for corruption.
Those suspended are Stephen Wachaya, the Chairperson of the Board of Directors, his deputy John Womungwa, Sam Wamutu the General Manager and his deputy John Baptist Khauka, as well as Jonathan Wenwa the accountant.
In an April 3rd letter the Minister of Trade, Tourism and Industry Janat Mukwaya says the group has been suspended for mismanaging the union. The letter, addressed to the State Minister for the Presidency says the suspension is part of recommendations made by an independent committee that investigated mismanagement of the Bugisu Cooperative Union finances and assets.
The suspension took effect from 2nd April and lasts till 2nd May when a special general meeting will be called to elect new members of the board of directors and administrators of the union.
Last year the Ministry of Trade appointed a team headed by Francis Mulwana, the Commissioner of Cooperatives to investigate how the management of the union spent 1.6 million dollars that was borrowed from Jobbing Field Property Financial Company Ltd. The team was also mandated to investigate the circumstances under which coffee valued at 935 million shillings went missing from the Bugisu Cooperative Union stores in Mbale.
In its recommendations the team found out that union's board members had paid themselves up to 25 million shillings in retirement benefits, despite the fact that they were still holding office.
In other news, a group of farmers have camped at Bugisu Co-operative Union building in Mbale town to prevent DFCU Bank from occupying it. The farmers the suspended board members irregularly leased the building to DFCU Bank and are demanding for accountability from the transaction before bank can move into the building.
One of the farmers who identified himself as Fasil Mafabi said they are willing to shade blood if the staff of DFCU force their way into the building.
// Cue in: iDFCU wants#i
Cue out i#this is our buildingi //
An effort to get a comment from DFCU Bank was futile.
