MPs demand for Greenland Bank closure reports

Nineteen years since the closure of Greenland Bank, the Governor, Bank of Uganda has never received a report on its closure, MPs on a parliamentary probe committee have heard.

And it is not only with Greenland Bank but two others, International Credit Bank and The Co-operative Bank which were closed in 1998.

Greenland Bank was closed in 1999.

Governor Emmanuel Tumusiime Mutebile told MPs on the committee on Commissions Statutory Authorities and State Enterprises (COSASE) that is probing the alleged irregular closure of seven commercial banks that he had never received any status report on the liquidation of the said banks.

Governor Emmanuel Tumusiime Mutebile during the hearing

While the director Financial Markets and Development coordination at the Central Bank, Benedict Ssekabira who was appointed as Bank of Uganda’s agent in the liquidation of Greenland Bank told the committee that he filed the said reports and submitted them to three former BoU officials who were supposed to submit them to the governor, Mutebile insisted that he had never seen the reports.

The reports in question detail the assets and liabilities as well as the movement of assets from the three banks during the liquidation process.

The responsible three former directors at BOU are Justine Bagyenda, Appolo Obbo and Margaret Matovu.

Former BOU Executive Director (Supervision) Justine Bagyenda appearing before COSASE

On being prodded, the trio resorted to trading of accusations on the status reports prompting the committee chairperson Abdu Katuntu to direct them to go to Bank of Uganda with the current Executive Director in charge of supervision Tumubweine Twinemanzi and trace for the status reports.

Katuntu’s directive followed a demand by Kalungu West MP Joseph Gonzaga Ssewungu for the committee to invoke its powers under Rule 205 of the Parliamentary Rules of Procedure to compel the officials to produce the relevant documents.

Katuntu gave them up to the close of business on Thursday to file the 11 files on Greenland Bank’s liquidation.