Election 2016

UNRA PROBE: Chinese Contractors Transfer Billions for Land Compensation to China Bank Accounts

UNRA bosses and Chinese contractors appearing before the Parliament on Thursday (Photo: Nixon Segawa/ChimpReports)

Members of Parliamentary Committee on Statutory Authorities and State Enterprises (COSASE) have Thursday grilled 5 Chinese road construction companies for falling short of compensating Ugandans despite receiving money from government.

According to the Auditor General’s report into UNRA financial statements, seek a total of Sh47.7Bn was advanced to the contractors for land compensation but only Shs 15, pills 145,845,412bn had been paid in compensation while the balance of Shs 32, 554,154,588bn remains unaccounted for.

During the meeting, MPs discovered that some of the Chinese companies had transferred the money from Ugandan banks to their accounts in China.

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UNRA gave China Railway No5 Group Shs8.4bn for compensation payment of Gulu-Acholibur project but has up to date not accounted for Shs8.3bn.

The Contractor told MPs that the money was sent to Stanbic Bank but was afterwards transferred to Bank of China on a special account of the project.

The developments underline the extent of plunder at UNRA before the new Chief Executive Allen Kagina took office.

China Railway 18th Group also was given Shs12.9bn to compensate people along Musita-Lumino-Busia road, but only Shs6, 455,979m was spent while Shs12, 893,544,021 remains unaccounted for.

UNRA advanced Shs7bn to Chonqing International Construction Company to compensate people affected along Acholibur-Musingo Road and have only paid Shs3.3bn.

UNRA also disbursed a total of Sh12.9bn to China Railway No.3 Group to compensate people affected by road works on Kanoni-Sembabule-Villa Road but only Sh5.9bn has been paid, leaving a balance of Shs6.9bn unaccounted for.

Another Chinese Contractor, Zhongeri Engineering was also advanced Sh6.5bn but has been able to make compensation of Sh5.7bn and is yet to account for Sh736, 432,690M.

The Contractor revealed he has spent all the money and wants UNRA to advance more money to compensate the remaining land owners, a revelation that left MPs in laughter.

The companies were then ordered to produce Bank Statements on Friday detailing how they spent the monies that were advanced to them.


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