By Varsite Nasuuna
The government of Uganda, in a remarkable snap allegedly has regained full ownership of Uganda Airlines Company Limited from the 2 shares owned just a day before to 2 million (100%) shares.
During the plenary session chaired by deputy speaker Jacob Oulanya on Thursday, minister of works and transport Monica Ntege Azuba said “the ‘error’ in regards to the Uganda Airlines ownership, has now been ‘corrected’ from government owning just 0.0001% (2 shares worth shs200) of the airlines 2 million shares”.
During the Parliamentary debate budget committee report, and a minority report yesterday, it was revealed that Uganda airlines is 99.9 per cent privately owned by unknown individuals .The revelation became a national concern with several Ugandans on social media wondering who owns the rest of the 99.9% of the airlines, and why tax payers money was being used to revamp the airlines where government is not the major shareholder.
Azuba thanked the Mps for highlighting the ‘error’ in the ownership, adding that as for today (Thursday), the airline is fully owned by the Ugandan government with ministry of finance and ministry of works owning 50% share holding each, She insisted that not once has the soon –to-be revamped airline ever been owned by private individual as alleged.
Azuba tabled several documents including a letter in which, during a curious extra ordinary meeting on March 26, 2019 in the ministry of works boardroom, the company’s directors resolved to allot equal and full shares (2millions) to the founding members –ministry of finance and ministry of works.
“The Uganda National airlines Company we have a return of allotment of shares which I beg to lay on table. The number of shares allotted –payable in cash is shs2 million, normal amount of shares allotted is shs200million. Amount paid or due per share is shs100 million and all the shares are allotted.” Azuba told the parliament.
“As of when, as of when Hon minister? As of when? When was this done Hon minister?” asked Oulanya.
“This, Rt Hon speaker, I want to thank members of the committee for having highlighted this and this has been corrected as of today (Wednesday march 27)” Azuba answered.
On Tuesday, the budget committee recommended the approval of shs280 million supplementary budget being sought by government to purchase the first two Bombardier planes from Canada. However, opposition Mps Winfred Kiiza and Joy Atim Ongom, in their minority report, appealed to parliament not to approve the supplementary budget until government explains the ownership of Uganda Airlines.
“The share capital of Uganda National Airlines Company Limited is 200 million divided into 2 million shares of the 2 million shares, only 2 shares worth shs200 to minister of works and transport as well as ministry of finance. This makes both ministries to be minority shareholders holding only 0.0001% of the shares. At the moment the owners of the 99.9% shares are unknown. The owners will only be determined when the directors decide to allocate the shares. It was asserted that the majority shares will be floated to the public,” Ongom’s report read.
Ongom also questioned the appointment of secretary to the Treasury Keith Muhakanizi and Bageya Waiswa as directors of Uganda National Airlines Limited in their individual capacity.
Former works and transport minister Abraham Byandala warned that Uganda carries a huge risk in the national carrier unless it wields majority shareholding. The Katikamu North Mp said only the Ethiopian airways across the African continent has registered profits, emphasizing that majority ownership should be in the hands of the government.
Erute South Mp Jonathan Odur also demanded for more information about the shareholders alleging that there was conspiracy to commit fraud according to the information provided by the minister of works.
