A Ugandan director involved in the botched Local Council bicycle deal has been named. Andrew Joseph Kyangwa was named as one of the directors of Amman Industrial Tools and Equipment Ltd (Aitel).
Mohinder Singh Chal, a former director Aitel, while appearing before the Parliamentary Committee on Local government Accounts forwarded Kyangwa’s name. He told the committee that although Amman began as a partnership, it later became a limited company in September 2010 and shareholders changed.
He explained that in February this year, Arjunan Rajasekaran came from India demanding that Mohinder and his wife, Nishita Maina cease being shareholders in the Company. Mohinder told the committee that Rajasekaran forced him and his wife out of the company. He however did not explain the reasons.
On 22nd February 2011, Mohinder and Nishita sold out their 35 percent stake to Rajasekaran, who had the majority shares at 65 percent. It was also on this day that Mohinder got to know Kyangwa as the new shareholder replacing him and the wife.
Mohinder told the committee that they only got 100,000 US Dollars for selling out their shares in the company. He was not aware of any other amount given to him. He together with his lawyer, Sam Ahamya challenged the document presented by Stanbic Bank officials showing transactions of the joint account. Armed with a certified copy of Bank Statement, Mohinder defended his position saying the Bank presented wrong figures to the Committee.
The documents in the committee show Mohinder withdrew about 20,000 dollars for his personal use. His wife, Nishita Maina on the same date received 100, 000 dollars and later another 50,000 dollars was wired to her personal account within the same bank.
Information available to the committee shows that Kyangwa was a driver of one of the directors in Aitel. Florence Kintu, Kalungu woman MP insists that Kyangwa was a driver and later became a director. Asked whether he knew who Kyangwa is, Mohinder feigned ignorance saying he knew nothing about the incoming director.
Kintu ordered Mohinder to draft a letter challenging the authenticity of the document Stanbic bank provided. Other MPs like Eddy Kwizera, the Bufumbira East MP agreed with that line of argument. He noted that the document in the committee neither had a letter head, a stamp nor a signature showing the authenticity.
Later in the evening, the committee vice chairperson Raphael Magezi confirmed that Stanbic Bank provided documents that contained inconsistencies in figures of transaction. He questioned how the same Bank could give different amounts transacted on the same account.
Magezi says the committee has decided to recall the bank officials to clear the air. MPs also extended summons to Bagarukayo Patrick, an individual adversely mentioned in the bicycle deal. Andrew Joseph Kyangwa, the Ugandan director in Aitel is also expected to give his side of the story on Thursday.
