The Bank of Uganda (BoU), the regulator of Uganda’s banking industry has spoken out for the first time on ongoing investigations into the alleged mismanagement of PostBank.
In a statement dated April12, 2019, the Central Bank acknowledges that following a petition to the State House Anti-Corruption Unit, by a whistleblower, there is an ongoing investigation into some of the staff of PostBank Uganda Ltd by the Office of the Auditor General and the Directorate of Criminal Investigation and Crime Intelligence (CIID).
“The Bank of Uganda (BoU) is aware of the issues under investigation and is working very closely with the aforementioned investigative teams and the Ministry of Finance, Planning and Economic Development to ensure that the services and operations of PostBank Uganda Limited are not interrupted,” Dr. Louis Kasekende, the Deputy Governor, BoU said in a statement.
He adds: “ The Bank of Uganda assures PostBank customers and the general public that PostBank Uganda Limited is strong, safe and sound and all its services will continue uninterrupted at all its branches.”
Reports indicate that senior managers at PostBank have since been forced to resign as investigations go on. They are accused of mismanaging then bank and causing it and government huge financial losses.
Headed by Steven N. Mukweli as Managing Director, PostBank Uganda is a non-bank credit institution in Uganda that has been performing well in the past years.