Omara said that banks have begun to auction property and penalize the traders. He appealed to the MPs to write to the Bank of Uganda directing it to reign on the commercial banks.
Ugandan traders that supplied goods but were not paid following
the outbreak of war in South Sudan want parliament to stop Commercial Banks
from auctioning their property for defaulting loan payments.
On Thursday, they appeared before the select committee set up by
Parliament to investigate the payment of 41 billion Shillings to 10 Ugandan
companies out of 33 that Parliament had approved.
The ten companies include; Rubya Investments, Kibungo Entreprises,
Aponye (U) Ltd, Afro Kai ltd, Swift commodities establishment ltd, Sunrise
commodities, Sophie Omari, Apo General Agencies, Ropani International and KK Travellers.
Others that were not included on the list include; Roko Construction Company,
Ake-jo General enterprise, JB Traders, Odyek Ejang Company, Dott Services,
Gunya company limited, Premier company, MFK company among others.
The process is part of a request by the Ugandan government for parliamentary
approval, to clear a debt of 151 billion Shillings owed to Ugandan traders and
companies by the South Sudan government. The traders supplied goods and
services from 2008 but were never paid following the conflict that started in
2013.
Led by their chairman Geoffrey Okwir and Secretary John Bosco Omara, the
traders told MPs of the Select Committee Chaired by Kyankwanzi Woman MP Ann
Maria Nankabirwa that the commercial banks are forcefully seeking loan
repayments when they heard that money had been paid and yet the traders had
been unfairly left out of compensation.
Omara said that banks have begun to auction property and penalize
the traders. He appealed to the MPs to write to the Bank of Uganda
directing it to reign on the commercial banks.
//Cue in: “marriages have broken
Cue out...ministry of trade.”//
Masaka Municipality MP Mathias Mpuuga noted that if the government
made a commitment to pay the traders and failed to fulfil the promise, then it
is liable and must pay for the loss of property.
//Cue in: “because then we...
Cue out...the House lost.”//
The traders also accused the Finance Minister Matia Kasaija of
being cruel and arrogant. Okwir told the MPs that during a meeting with
Kasaija, he harshly asked them why they had gone to do business in South Sudan.
The traders want the compensation process be done by the Ministry
of Trade since the Trade Minister Amelia Kyambadde is sympathetic to their
plight.
//Cue in: “we are tired...
Cue out...are very arrogant.”//
South Sudan and Uganda then entered into a mutual agreement which
could see Uganda clear the debt and treat it as a loan to the government of
South Sudan. The money will be paid back within five to 10 years with a six per
cent interest rate after the first year.
