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Judge faults IGG in UDB sackings

In an April 14 ruling, the High court in Kampala reversed the suspension of three top managers of Uganda Development Bank (UDB).

The three were suspended in 2013 at the urging of Inspector General of Government Irene Mulyagonja. But Justice Stephen Musota ruled last week that the suspension was irregular.

Although they were suspended then, the three managers remained in office, after getting a court injunction against the IGG’s directive. They are Patricia Ojangole, the chief executive officer; Andrew Mulubya, the director in charge of management information system; and Daniel Kaggwa, the director of finance.

The ruling stems from a 2013 petition filed by the UDB board and the suspended managers, seeking to overturn Mulyagonja’s directives which they said were carried out in an oppressive, irrational, vindictive and biased manner.

Mulyagonja accused the three of victimising a whistle-blower who was dismissed from the bank. But the bank insisted that the whistle-blower had been fired for her role in the embezzlement of Shs 54 billion.

Last week, judge Musota agreed with the petitioners. He faulted the IGG for not giving the accused a fair hearing during the investigations.

“The actions of the IGG in this case amounted to procedural impropriety. The applicants were given the impression that what was being investigated was different from what they were arrested for, that’s to say victimization,” he said.

Musota also said the suspension of the entire management staff could have adversely affected the operations of the bank since the bank’s business is premised on stability and credibility.


However, the ruling by Justice Musota seems to have been overtaken by events in the case of Ojangole. On February 14, 2014, Ojangole was suspended by the UDB board to pave way for an ongoing conflict-of-interest case against her at the Anti-Corruption court, again brought by the IGG.

According to the IGG, Ojangole, 36, participated in various processes and proceedings that culminated in her appointment to the position of CEO of the bank on November, 30, 2012. The case is before judge Lawrence Gidudu


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