Officials from Kampala Capital City Authority (KCCA) have been questioned over the failure to remit Shs 1.47bn to the National Social Security Fund (NSSF) for its workers.
The officials, led by the Deputy Director KCCA Sam Serukuuma appeared before the Committee on Commissions, Statutory Authority and State Enterprise (COCASE) chaired by the Deputy Chairperson, Anita Among to respond to queries raised in the Auditor General’s report of 2014/2015.
KCCA human resource manager Richard Lule informed the committee that the arrears arose after they misinterpreted the law on whether some categories of workers were entitled to remit NSSF.
“We had earlier thought that political heads, revenue officers, enforcement officers and casual workers were not eligible to remit money to NSSF but we have since then remitted all the arrears,” Lule said.
Legislators however, wondered where KCCA got the money to clear all the arrears with NSSF when funds were never budgeted and allocated to the said vote.
Lule informed the committee that the money was indeed provided for in the budget and even taken care of the 5 percent that was meant to be paid by employees but had been withheld by the authority.
This response didn’t go on well with the legislators who later found out that KCCA still had arrears worth Shs7bn as non-remittance with NSSF.
Lule clarified that these arrears arose as penalty for failure to remit the money on time adding that they too would be cleared.