Published on 22/10/2024
Leader of the Opposition, Hon. Joel Ssenyonyi, has demanded that the Minister of Finance account for the Shs263.33 billion invested in Roko Construction Company.
In July 2022, the government acquired preferential shares in the company to stabilize its financial situation. Ssenyonyi insists Parliament must scrutinize how the funds were used.
Concerns have been raised over the transparency and effectiveness of the investment. The call for accountability has reignited debate over the government’s role in rescuing private companies.
Ssenyonyi said that whereas government invested in the company to ensure completion of construction of projects such as Parliamentary Chambers and Uganda Cancer Institute, among others, little progress has been made.
“Government’s stake was to ensure that these projects continue without delay as the collapse of Roko would lead to delay. However, to date, some of the infrastructure projects that were fronted as the reason for the approval of this investment have not been completed,” Ssenyonyi said.
The LoP made these demands in his report to the House on Tuesday, 22 October 2022.
“Government ought to update Parliament on the latest financial standings of this company given that government approached Parliament with the bail out request. I think it is prudent that the House is given accountability,” said Ssenyonyi.
He also wants the Attorney General, Hon. Kiryowa Kiwanuka to table in Parliament, the shares agreement between government and Roko.
“Government shares are not clear; there is need to clarify this. It is not known as to whether amendments were made to include government investments and how much government owns in equity and what type of shares,” he said.
The LoP further called for investigation into governance challenges in the company saying that employees there have severally complained of non-payment.
“Government said the aim of the bail out was aimed at saving jobs. Is government aware of concerns by employees?” Ssenyonyi asked.
Ssenyonyi’s concerns are premised on a failed oversight visit to the company’s premises where he led a delegation of Opposition lawmakers on Monday, 14 October 2024 but were denied access.
“The managing director said that the board had rejected the planned engagement with the Members of Parliament and the company’s management. Please, encourage Roko, if they have nothing to hide, they should be open,” said Ssenyonyi.
Speaker Anita Among urged the Minister of Finance and the Attorney General to make a response to the LoP’s report.
“We have our money that is with Roko; we need to know how the money is being used and most importantly, what members are asking. You need to have an interface with Roko and give a report to this House,” said Among.
The Minister of State, Finance, Planning and Economic Development (General Duties), Hon. Henry Musasizi pledged to present the response.
“I do commit that we shall bring a report about the issues which the LoP has raised,” Musasizi said.
