24TH OCTOBER 2024.
The leader of the Opposition, Joel Ssenyonyi has raised concerns over the secrecy involving the Shs723.4Bn Government investment into Dei BioPharma Company, saying the lack of transparency in this deal raises concern about taxpayers’ money that has been sunk into this project.
He raised the concerns while presenting a Report on the Oversight Visit he took with his Shadow Cabinet to Dei Pharma Ltd at Matugga in Wakiso District on 19th September 2024.
According to Ssenyonyi,Dei BioPharma has received a cumulative total amount of Shs723.4Bn in funding from the government.
This financial support began with an initial allocation of Shs70Bn, which was granted during financial 2023/24, followed by an additional Shs.75Bn in December 2023, and finally, the most recently significant amount of Shs578.4Bn that was provided through Supplementary Schedule No. 2 for the financial year 2023/24
The Leader of the Opposition made several recommendations including the need for the Government to provide proper accountability for the Shs723.4Bn already spent on this project and a comprehensive policy on bailout of companies.
“We would like to see value for taxpayer money. To promote transparency, the government should table on the floor of Parliament the agreement signed with Dei BioPharma, to ascertain obligations of each party, and the valuation report by the Chief Government valuer,”said ssenyonyi.
He said that government should bring to Parliament a comprehensive policy on bailouts to guide future government interventions in private enterprises.
“This will help to determine objectively which companies are deserving of bailouts, and how struggling companies can apply for bail-outs. As it is today, it seems that only those who are connected to people in Government can access bail-outs, no wonder a number of them don’t feel obliged to account for the funds they receive,” added Ssenyonyi.
Speaker Anita Among asked both the Attorney General and Minister of Finance to provide a written response to the report as presented by the leader of the opposition.
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