Farmers In Bugisu Accuse Union Board Of Fraud

Bugisu Cooperative Union is an agricultural cooperative union run by the coffee farmers from across the Bugisu sub-region. It is currently headed by Budadiri West MP Nathan Nandala Mafabi who is the Chairman of the Board of Directors. A section of farmers led by John Wamulugwa met recently in Mbale to discuss the issues affecting the union and they accused the current board members of misusing union funds. “They have created a kind of illegal institutions to be part of the union like this Elders’ Forum the law does not provide for forming up of an elders’ forum.” Said, John Wamulugwa – Bugisu Cooperative Union. “Nandala has misused the Union as a personal property. He has been spending money on Elders’ Forum who are not allowed by the law of the cooperatives to get anything. And because they are his supporters of FDC…” Said, Lawrence Mafabi – Bugisu Cooperative Union.

Over 9.2 billion shillings is said to have been misused after it was donated to the Union by the President to bail the Union out of debts it had accumulated. The Cooperative Union owed the Uganda Revenue Authority, PAYE arrears of 124 million shillings and VAT totaling 1.3 billion shillings. “People are wondering where the 9 billion has gone which the President gave us, we would not be now begging banks to lend us the money. We thought that as the President gave us the money, this money would be helping the Bamasaba in buying the coffee.” Said, Safiyi Mafabi – Bugisu Cooperative Union. The farmers also alleged that there was no accountability for over 6 billion shillings raised from renting out Bugisu Cooperative Union apartments. “They are using audit firms for their personal appointments and maybe relationship so that during the audit process, they conceal a lot of information to the members.” Said, John Wamulugwa.

The farmers say they plan to meet the President and share their grievances with him having been frustrated by different leaders in Bugisu sub-region. “Nandala has also been even influencing all the MPs of the Mbale region not to allow the elders to meet the President.” “We are pleading to the President to allow us to break this bureaucracy.” “The truth of the matter is that I have been on the frontline as the Vice Chair of Bugisu Parliamentary Caucus to synergize all efforts that would actually strengthen and consolidate BCU. Because we know Bugisu Cooperative Union is now the remaining lifeline for Bamasaba and Bagisu at large.” Said, John Baptist Nambeshe – Vice Chairperson, Bugisu Parliamentary Caucus.

The farmers are now demanding the board members should step aside to pave way for investigations into the alleged financial mismanagement. “Our demand is to have action taken on all the irregularities we have identified. If it is criminal cases, let the criminal cases be investigated, completed and the culprits are prosecuted.” Said, John Wamulugwa. However, the Vice Chairperson of the Board John Musila has described the allegations as baseless and instigated by former board members whose aim is to tarnish the image of the current board of directors. “The one who is saying that and who is known; the former Vice Chairperson of Bugisu Cooperative Union for was there for 16 years, he found a vibrant Bugisu Cooperative Union, he collapsed it to nothing. The money is there, he has accused us of taxes and whatever but how do you avoid tax? Actually, it is them who avoided taxes between 2011 and 2014 completely and which taxes we have just paid recently in this second term of office.” Said, John Musila – Vice Chairperson, Bugisu Cooperative Union.