On 22nd April 2014, the Managing Director Cairo International Bank was expected to appear before court for plea after being summoned by a court order by Chief Magistrate of Ant-Corruption court. The Managing Director, Mr.Muhamed Terek and other bank officials failed to turn up.
They were expected to appear before the Chief Magistrate at the Anti-Corruption Division on Tuesday 22nd April 2014. They were to answer charges of conspiring with Ministry of Public Service officials to steal more than Ugx 165 billion.
Prosecution says the bank and its managing director made arrangements with other nine senior officials in the Ministry of Public Service to steal more than Ugx 165 billion. The bank created 2,605 ghost beneficiaries of pensioners’ money. It is alleged that the pension scam transactions were made through Cairo International Bank.
The Auditor General, in his report, noted that the Ugx 88.2 billion NSSF contribution did reach the NSSF account thus suspicion that the money was pocketed by some individuals in Public Service. The money was allegedly swindled in two financial years [2010/11 and 2011/12] in instalments of Ugx 44.1b. The Auditor General further indicated that pensioners are under no obligation to contribute to the Fund. The trail Magistrate Sarah Langa directed all the 11 suspects including the former Permanent Secretary Jimmy Rwamata will be charged on the amended charge sheet. Court set May 30 2014 for hearing of prosecution witness.
