UGANDA, Munyonyo | Real Muloodi News | Parliament’s Committee on Trade, Tourism, and Industry has taken a keen interest in the government’s investment in Munyonyo Commonwealth Resort Limited.
The committee has directed the resort to provide audited financial statements, as it has come to light that the facility has not undergone an official audit in the last four years.
The delay in auditing is attributed to the delayed appointment of government representatives to the resort’s board.
Munyonyo Commonwealth Resort is a luxurious five-star hotel and conference facility situated on a 90-acre land by the Victoria Lakeside in Kampala.
It is partially owned by the government through the Uganda Development Corporation (UDC), which holds 25% of the resort’s shares.
The government’s shareholding amounts to 15,061,309,120 shares out of the 60,244,836,480 paid-up shares in Munyonyo.
During a hearing before the parliamentary probe committee, Dr Patrick Birungi, the Executive Director of UDC, disclosed that Munyonyo Resort lacks audited financial statements for the Financial Year 2019 and 2022, primarily due to the delayed appointment of government representatives to the resort’s board.
The committee, led by Charles Okello, a Member of Parliament representing Nwoya East County, is investigating the status of government investment in the luxury resort and conference facility.
Dr Birungi cited the global COVID-19 pandemic as a significant factor contributing to the absence of audited financial statements.
He explained that the pandemic had impacted the quorum required for both the resort’s board and Annual General Meeting since the audit process necessitated government representation.
However, many government officials in those positions were unable to fulfil their roles due to the pandemic’s challenges.
The chairperson of the committee adjourned the probe, granting Dr Birungi’s request for more time to allow external auditors from UHY Thakkar & Associates, who were appointed on July 19, 2023, to complete the ongoing financial audits for more comprehensive engagement.
Godfrey Odero, a legislator representing Samia Bugwe County South, demanded that UDC submit all audited financial statements from the inception of government investment in Munyonyo, which dates back to 2007 when Uganda hosted the 20th Commonwealth Heads of Government Meeting (CHOGM).
Dr. Birungi informed the committee that UDC had nominated new directors for Munyonyo Commonwealth Resort, including Betty Katsimbazi and Stephen Mwanje. Additionally, Andrew Rugasira and Basil Ajer were nominated as alternate directors.
Munyonyo Commonwealth Resort is co-owned by Sudhir Ruperalia, the Director of Meera Investments Limited.
Sudhir and his co-director, Jyotsna Ruperalia, possess 30,724,866,605 ordinary shares, while Sudhir’s company holds 8,434,277,107 shares, and Jyotsna’s ownership stands at 6,024,483,648 shares.
The government’s investment in Munyonyo Resort is linked to contributions of 15 billion Ugandan Shillings ahead of the 2007 CHOGM meeting held at the resort, along with an additional 13 billion spent on constructing a marina and pathways.
The Ministry of Finance, Planning, and Economic Development held government shares in Munyonyo Resort until 2022 when ownership was transferred to UDC under the UDC Act of 2016.
READ MORE LIKE THIS:
Sudhir’s Response to Tourism Committee About Munyonyo Commonwealth Resort Shares
