While appearing before parliament’s select committee investigating the operations of NSSF, the two officials offered contradicting statements in regard to the Shs 1.8 billion cash released purportedly for corporate social investment (CSI).
Before the probe into the budget started, the committee learned that Shs 1 billion out of the Shs 1.8 billion budget meant for CSI, was allocated to the NSSF board members to reportedly increase the relevance of NSSF.
Committee chairperson Mwine Mpaka tasked Byarugaba to substantiate claims by the NSSF board that the Shs 1 billion budget was his own making. According to Mpaka, the board members told his committee that they did not request the money and that it was brought to them by Byarugaba.
Bwamba County MP Richard Gafabusa also asked how the budget was generated, and to this, Byarugaba said that corporate social investment was an idea of the board and that the breakdown of Shs 1.8 billion was agreed upon in bulk. He further explained that out of the Shs 1.8 billion, Shs 800 million was identified for workers’ unions to enable them to carry out financial literacy activities.
“So yes, the board might not have been aware of the breakdowns that I mentioned. That breakdown was something that we had discussed with the finance department in terms of allocation but we were not very specific about what would happen. Generally, that Shs 1 billion was for the work of this new innovation that we were about come up with…It wasn’t a gift because f you look at it it was an innovation, the board had asked us to begin thinking about how the board would be relevant,” said Byarugaba.
Mpaka asked Mwanje to explain if he had received a directive from Byarugaba to include the said money in the fund budget. While Mwanje acknowledged the directive, he hastened to add that Byarugaba was equally getting a lot of pressure from ‘above’.
“The MD [Byarugaba] came to me with two issues. One was the Shs 800m, the other one was about the Shs 1 billion. I don’t have anywhere in the budget or related documents a breakdown of that Shs 1 billion,” said Mwanje.
