Corruption and Foreign

Aid Uganda
Stephanie Lui, BSc, PharmD candidate 2015
Corruption in Uganda
www.transparency.org Global Corruption Barometer National Statistics 2013
Data based on survey results from 1000 individuals in urban areas
Conducted by third party survey company in urban areas
58
43
68
39
40
46
42
39
0 10 20 30 40 50 60 70 80 90 100
Judiciary
Medical Health Services
Police
Registry and Permits
Utilities
Tax Revenue
Land Services
Education Services
% of Respondents who paid a bribe
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Bribes paid for Services within the past year
Uganda Relative to Other Nations
Percentage of Respondents per Country who paid a Bribe to one of Eight Services
in the last 12 months
www.transparency.org Global Corruption Barometer Statistics 2013
Corruption Perception Index
Uganda ranked 130/174 in Corruption Perception Index
Worldwide Governance Indicators show Uganda has made no progress
www.transparency.org Corruption Perception Index Statistics 2013
Misappropriation of Foreign Aid
Office of the Prime Minister Scandal
2012 - 2013
USD $12.7 million
discovered missing from
the Office of the Prime
Minister
Earmarked for the 2009-
2012 Peace Recovery and
Development Plan (PRDR)
for Northern Uganda
United Kingdom,
European Union,
Germany, Denmark,
Ireland and Norway
suspended all aid
Inset: Geoffrey Kazinda, (Former principal accountant of
OPM), Beatrice Kezaabu, (assistant resettlement officer),
Martin Owor (sanctioned Commissioner for relief and disaster
preparedness), Hussein Katumwa (manager Total Fuel Station)

http://www.nbs.ug/details.phpoption=acat&a=1197#.UpKJ12Sifco

Foreign Aid in Uganda
1.9037
1.7307
1.9591
1.8715
1.6654
1.5
1.7
1.9
2007 2008 2009 2010 2011
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Year
Official Development Assistance to
Uganda
388
253
163
149
121
76
75
64
59
52
100 200 300 400 500
United States
IDA
United Kingdom
EU Institutions
AfDF
Norway
Denmark
Japan
Ireland
Germany
Official Development Aid (Millions)
C
o
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Official Development Assistance by
Donor 2011
Sources: OECD - DAC, World Bank; www.oecd.org/dac/stats
10% of the gross national income 2011
30% of the national budget in 2012
A little bit of history
Not the first time! Global Fund 2005
Time Event
August 2005 USD $4.5 million from the Global Fund to fight AIDs,
tuberculosis and Malaria discovered missing. Aid stopped.
November 2005 Aid resumed based on the condition that the funds would
be refunded, the guilty would be prosecuted and more
oversight would be put in place.
June 2006 Three health ministers implicated in the scandal are left
out of cabinet (Jim Muhwezi, Alex Kamugisha, Mike
Mukula).
March 2007 Global fund turns down a grant application for USD $16
million from the Ugandan government as Uganda had yet
to deliver on their promises.
April 2007 Ugandan Government finally directs police to begin
investigations.
Not the first time! Global Fund 2005
Time Event
July 2008 Special anti-corruption court created.
April July 2009 Teddy Seezi Cheeye (director of Internal Security
Organization) 10 Years for embezzlement ($43,000), Fred
Kavuma (production manager Uganda television) 5 years
for misuse of funds($19,000), Analiza Mondon, Elizabeth
Ngororano (directors of NGO) 5 years misuse of funds.
April 2010 ~USD 1.5 million of the funds had been returned

*Independent investigation by the Global fund estimates
that $4.5 million was misappropriated.
Not the Second time! GAVI 2007
Time Event
Early 2007 USD $838,000 detected missing from the GAVI alliance by the
Inspectorate of Government
May 22, 2007 Charges laid against Jim Muhwezi, Mike Mukula, Alex Kamugisha
and Alice Kaboyo the Presidents private secretary.

All four entered plead not guilty and were released on bail.
June 2012 Alice Kaboyo pled guilty and was fined USD $7900.
July 2012 Jim Muhwezi and Alex Kamugisha acquitted of all charges.
January 2013 Mike Mukula convicted for embezzlement ($83,000) and
sentenced to 4 years.
March 2013 President Museveni offers to pay for Mukulas legal fees.
Conviction overturned. Defense argued that Mike Mukula was not
an employee of the government but was an appointed official.
What factors lead to all this
corruption?
Lack of Anti-Corruption laws and
institutions?
Global Integrity Scorecard uses in-country researchers and journalists to
generate a scorecard on the health of a countrys anti-corruption framework
https://www.globalintegrity.org/global_year/2011/
Anti-corruption Institutions
1. Anti Corruption Court Jurisdiction over offenses within
the Anti-corruption Act of 2009, Penal Code Act,
Leadership code act
2. Office of the Inspectorate of Government mandated to fight the abuse
of authority and public office, can only prosecute government officials
3. Auditor General power to audit public accounts of court, government
and public institutions reports to parliament
4. Parliament Public Accounts Committee monitors use of public funds on
behalf of parliament and conducts its own investigation
recommendations have to be approved by the majority of parliament
5. Directorate for Ethics and Integrity responsible for setting ethical
standards and creating anti-corruption policies currently focused on
fighting against rights of lesbian, gay, bisexual and transgendered
Political Interference?
Theory: Siphoned funds are being used by the
National Resistance Movement to win support of
members of parliament and corrupt officials are
protected


Political Musical chairs Jim Muhwezi previously sanctioned for abuse of office as
Minister of education, Mike Mukula is now an MP
Presidential support of corrupt officials President Museveni offered to pay legal
fees of Mike Mukula
Lack of political will to enforce anti-corruption laws (Global Fund four years
before convictions, none of which were of high ranking officials due to a lack of
funding and staff in the Inspectorate General)
Museveni, with the support of parliament, removed the two term limit on
presidency in 2005, a year before elections in 2006
http://38north.org/2010/06/inspector-o-and-the-spa-music-hall/5075-onlinecart62/
Transparency?
Possible Solutions???
Proposed solutions?????
Re-instatement of the two-term presidency limit
Appointment of officials to vacant positions in the
Inspectorate of Government and the Directorate of Public
Prosecutions
Amendment of law such that presidential appointees are
considered government employees or presidential appointees
are covered under anti-corruption laws
Increasing transparency disclosure of financial assets of
officials, disclosure of political financing
Clarification of the roles of each anti-corruption institution
Prohibit those involved in previous scandals to become
appointed to parliament
QUESTIONS???