WGI Condemns Shs.6billion cash reward given to public servants

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WGI Condemns Shs.6billion cash reward given to public servants

January 11, 2017 1:29 pm | Published by admin

What is the point in aggrandizing people who were side walkers in the case?

Senior government officials who oversaw the tax dispute settlement between government and international oil company Tullow were recently awarded shs.6 billion as appreciation for winning the case for Uganda, which has sparked off a firestorm among Ugandans. In what has been dubbed “the golden handshake”, Ugandans have continued to question this act by that symbolizes manifestation of corruption in the country, lack of transparency and accountability in the oil sector, a precursor for the oil curse. 

The latest of is a “controversial injunction” in which Justice Steven Kavuma has stopped parliament from probing the officials who received the money (Read more). Parliamentary speaker Rebecca Kadaga described the ruling as “stupid” in what appears the first major blow back of 2017 between the two vital arms of government (Read more).

“Awarding public servants is ok but it should be on a certain criteria. The reward in itself is not wrong but the manner and process in which the reward was made”, says Henry Baziira , Executive Director Water Governance Institute .

‘Lawyers were hired and paid $10 million, served their purpose then why should you go ahead and spend money on side walkers or on lookers. It’s a double payment which is unfair to Ugandan tax payers”

The first tax row erupted in 2010 between government and Heritage Oil after the firm sold its stake in two oil blocks to its then partner, Tullow Oil. The government netted $434 million after arbitration. In a second case, Tullow disputed a Uganda tax assessment of $473 million against its asset sale to China’s CNOOC and France’s Total in 2012. Tullow paid $250 million in an out-of-court settlement in 2015, nearly half of what was originally claimed.

At Water Governance Institute, we believe that Kavuma’s ruling does not serve the interests of Ugandans, government and even businesses in the oil industry. Clearly; Justice Kavuma has failed to deliver justice to Ugandans (Read more). 

For more on our position, watch the video above in which Mr .Henry Baziira appeared on NTV a local television station to raise his voice about the issue.

Below is the Parliamentary Speaker Rebecca Kadaga’s Order