Members\nof Parliament have learnt with shock that the ownership of Uganda Airlines,\nwhich is being revived by government, is shrouded in mystery.<\/p>\n\n\n\n
In\nits report on a Supplementary Appropriation Bill for Parliament\u2019s\nconsideration, the Committee on Budget said government owned a paltry two out\nof 2 million shares leaving over 1.9 million shares in the hands of unknown\nindividuals.<\/p>\n\n\n\n
The\nschedule before Parliament includes Shs280b to be paid for the first batch of\nthe Bombardier CRJ900 aircrafts to be used by the national carrier.<\/p>\n\n\n\n
Committee\nChairperson, Amos Lugoloobi, spelled doom with the revelation.<\/p>\n\n\n\n
\u201cThe\ngovernment of Uganda has injected approximately US$29.9 million into this\ncompany but has only two shares,\u201d said Lugoloobi.<\/p>\n\n\n\n
He\nadded: \u201cThe current investment in the company does not match the authorised\nshare capital of the company.\u201d<\/p>\n\n\n\n
But\nin a twist of events on Wednesday, 27 March 2019, Works and Transport Minister,\nHon Monica Azuba now says as at 26 March 2019, the company is wholly owned by\ngovernment.<\/p>\n\n\n\n
Azuba\ndismissed earlier claims that a shadowy hand is pushing government to revive\nthe airlines, where the public would not have a stake. She said her Ministry\nand that of Finance are the only shareholders as at Tuesday\u2019s allocations.<\/p>\n\n\n\n
The\nDeputy Speaker, Jacob Oulanyah, who chaired the session, noted the drastic\nchanges.<\/p>\n\n\n\n
\u201cWe\nwent to bed yesterday with the position that the government owns two shares;\nwoke up with the same position, went for lunch and now there’s a change,\u201d said\nOulanyah.<\/p>\n\n\n\n
Oulanyah\nlater asked the Committee on Budget to scrutinize documents laid on table by\nAzuba, communicating the new shares allocations.<\/p>\n\n\n\n
Former\nWorks Minister, Hon Abraham Byandala, welcomed the setting up of the airline\nwith the caveat that handling services at the airport and Soroti Flying School\nwould be run by government to enhance the revamped airline’s profitability.<\/p>\n\n\n\n
Currently,\ngovernment outsources the services to private company.<\/p>\n\n\n\n
But\na Monday Cabinet meeting resolved on government takeover of Soroti Flying\nSchool.<\/p>\n\n\n\n
Government\nhas up to 31 March 2019 to pay up the Shs280b or risk being fined by the jets’\nmanufacturer.<\/p>\n\n\n\n
The\nSupplementary Appropriation<\/p>\n\n\n\n
The\nBill seeks a total of Shs1.1 trillion in Supplementary Expenditure, with\nShs403b already spent, leaving Shs770b which requires prior Parliamentary\napproval as spelt out in Section 25 of the Public Finance Management Act.<\/p>\n","protected":false},"excerpt":{"rendered":"
Members of Parliament have learnt with shock that the ownership of Uganda Airlines, which is being revived by government, is shrouded in mystery. In its report on a Supplementary Appropriation Bill for Parliament\u2019s consideration, the Committee on Budget said government owned a paltry two out of 2 million shares leaving over 1.9 million shares in […]<\/p>\n","protected":false},"author":27983,"featured_media":8924,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":[],"jnews_primary_category":[],"jnews_paywall_metabox":[],"jnews_override_counter":[],"footnotes":""},"categories":[101],"tags":[],"class_list":["post-8923","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"yoast_head":"\n