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Uganda defence ministry pushed into signing railway contract -PS

Wednesday December 10 2014
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Presidency and Kampala minister Frank Tumwebaze. PHOTO | FAISWAL KASIRYE

Ugandan minister tried to influence the Ministry of Defence to award $8.5 billion (Ush22 trillion) tender for the construction of the standard gauge railway to a Chinese firm, a parliamentary committee inquiring into the controversies surrounding the deal heard.

The Minister for the Presidency, Frank Tumwebaze, is said to have pressured the Defence ministry into signing a Memorandum of Understanding (MoU) with China Harbour Engineering and Construction Limited (CHECL), one of the two Chinese firms wrangling over the contract.

Ms Rosette Byengoma, the Defence ministry permanent secretary, told the House Select Committee that Tumwebaze placed calls to her, directing her to sign an MoU with CHECL which she eventually signed on April 18, 2013 even though the Solicitor-General had raised a red flag over the matter.

Although Tumwebaze admitted to have made calls as a follow up to presidential assignments under his docket, he challenged Ms Byengoma to shed more light on what pressures were exerted onto her rather than attempting to “to escape responsibility.”

“It is not a matter of just mentioning names of ministers and State House to escape responsibility. I could have called her to follow up on issues the President has asked me to follow up. It would be excellent if the committee calls me up later to explain. I am not in the business of pressuring civil servants whom I do not even supervise,” Tumwebaze said.

READ: Probe implicates Museveni in stalled SGR contract

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Signed against the advice

The Defence ministry signed the MoU with CHECL against the advice of the SG who had warned that it was irregular for the ministry to sign the document without approval from the Ministry of Works and Transport.

“We were being pushed to quickly sign before the April 21 [2013] deadline. I got a call from the minister himself - Tumwebaze so I was told to sign the MoU because it was delaying the whole process. He [Tumwebaze] is the one that called me last,” Ms Byengoma said.

The deal to construct the railway line hit a snag after Works state minister John Byabagambi cancelled an understanding with China Civil Engineering Construction Corporation (CCECC) to construct the eastern route of the line and handed the project to another China Harbour Engineering Corporation (CHEC).

The wrangles surrounding the contract have since sucked in several government agencies and President Museveni with different ministries canvassing support for rival firms with the President said to favour CHEC.

The Attorney-General and the Solicitor-General insist Mr Byabagambi’s cancellation of the CCCEC deal is illegal -- a position backed by a court ruling that dismissed the minister’s actions as irrational.

READ: Minister’s action may delay Ugandan leg of railway project

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