The Ministry of Local Government was thrust into the spotlight in 2011 following a major corruption scandal involving the procurement of 70,000 bicycles intended for Local Council (LC) leaders across Uganda.
Government contracted Amman Industrial Tool and Equipment Ltd, a locally registered company, to supply the bicycles. However, investigations later revealed that despite receiving approximately US$1.7 million (about Shs4 billion) in public funds, the company failed to deliver the bicycles.
The scandal prompted criminal investigations and subsequent court proceedings, with several senior officials found guilty of causing financial loss to the government.
Former Permanent Secretary John Muhanguzi Kashaka was convicted and sentenced to 10 years in prison for his role in the fraudulent procurement.
Other officials, including Principal Accountant Henry Bamutura and Assistant Commissioner Sam Emorut Erongot, also received lengthy prison sentences. The court further ordered them to compensate the government for the financial losses incurred.
The bicycle procurement case remains one of Uganda’s most notable public procurement scandals and has frequently been cited as an example of the importance of transparency, accountability and strict oversight in the management of public funds.
