Joe Ssemugoona and Others v Uganda and Uganda v Eng. Abraham Byandala and Others (Consolidated Criminal Appeal No. 91 of 2018; Criminal Appeal No. 112 of 2018)
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Holding
The Court of Appeal dismissed the prosecution's appeal, upholding the acquittals of the Minister and others for abuse of office and causing financial loss, holding that due diligence may lawfully be conducted at any time during the procurement process and that financial loss must be quantified and proved unrecoverable. It allowed the first appellant's appeal, quashing his abuse of office and neglect of duty convictions for want of proof. It confirmed the IGG's power to prosecute a private person for Penal Code offences involving public funds. It quashed the second appellant's theft conviction for lack of fraudulent intent but upheld his convictions for uttering false documents and obtaining securities by false pretence, and upheld the third appellant's neglect of duty conviction.
Outcome
Prosecution appeal dismissed; first appellant acquitted and released; second appellant's theft conviction quashed but convictions for uttering false documents and obtaining securities by false pretence upheld with sentences to run; third appellant's neglect of duty conviction upheld.
Facts
Former UNRA employees and the Minister for Transport were involved in the procurement, contract award and advance payment for upgrading the Mukono-Kyetume-Katosi-Kisoga-Nyenga road. The contract was signed with Eutaw Construction Company before due diligence on the bidder was completed. The Minister wrote a letter directing immediate signing of the contract. Apollo Senkeeto, purporting to represent Eutaw Mississippi through a claimed special purpose vehicle, Eutaw Florida, presented forged bank guarantees and securities from Housing Finance Bank, KCB and SWICO to UNRA and obtained an advance payment of about UGX 24.79 billion, which was disbursed partly to a Chinese sub-contractor (CICO) for mobilisation and partly wired abroad for equipment. UNRA finance officers, including Joe Ssemugooma and Wilberforce Senjako, were responsible for verifying the securities; a verification email intended for the bank's CEO was sent to a junior bank employee, Isaac Mugote, who falsely confirmed authenticity. The IGG investigated and prosecuted, including the private person Senkeeto, in the Anti-Corruption Division.
Issues
- Whether the first respondent (Minister) acted arbitrarily and abused his office by directing UNRA to sign the road contract before due diligence was concluded.
- Whether due diligence in a procurement process may lawfully be carried out at any time, including after contract signing.
- Whether the offence of causing financial loss was proved where the prosecution did not establish the actual, quantified and unrecoverable loss.
- Whether conspiracy to defraud was proved against the fifth and sixth respondents given challenged electronic evidence.
- Whether the first and third appellants' convictions for abuse of office and neglect of duty (failure to verify securities) were supported by the evidence.
- Whether the second appellant, a private person, could lawfully be prosecuted by the IGG for Penal Code offences and whether the indictment was validly signed.
- Whether the second appellant committed theft of the advance payment and whether fraudulent intent to permanently deprive was proved.
- Whether the second appellant was guilty of uttering false documents and obtaining execution of securities by false pretence.
Orders
- Criminal Appeal No. 112 of 2018 is dismissed.
- Criminal Appeal No. 91 of 2018 succeeds in part.
- First appellant Joe Ssemugooma's convictions and sentences for neglect of duty and abuse of office are set aside; immediate release ordered unless held on other lawful charges.
- Second appellant Apollo Senkeeto's conviction and sentence for theft are set aside.
- Second appellant's conviction for uttering false documents is upheld; he shall serve the balance of the 3-year sentence (2 years, 3 months and 19 days from delivery).
- Second appellant's conviction and sentence for obtaining execution of a security by false pretence upheld; balance of 5-year sentence (4 years, 3 months and 11 days) to be served; bail cancelled and immediate arrest ordered.
- Third appellant Wilberforce Senjako's appeal is dismissed; he shall serve the 5-year sentence for neglect of duty less time served before bail.
Rules and key headnotes
Legislation cited (26)
- Anti-Corruption Act 2009 s.11
- Anti-Corruption Act 2009 s.20
- Anti-Corruption Act 2009 s.2(i)
- Penal Code Act s.254
- Penal Code Act s.261
- Penal Code Act s.253(1)
- Penal Code Act s.351
- Penal Code Act s.347
- Penal Code Act s.306
- Penal Code Act s.309
- Inspectorate of Government Act s.35(c)
- Inspectorate of Government Act 2002 s.14(5)
- Uganda National Roads Authority Act 2006 s.5(3)
- Uganda National Roads Authority Act 2006 s.14(2)(a)
- Uganda National Roads Authority Act 2006 s.7(3)
- Uganda National Roads Authority Act 2006 s.14(3)
- Public Procurement and Disposal of Public Assets Act 2003 s.3
- Public Procurement and Disposal of Public Assets (Procuring and Disposing Entities) Regulations 2014 reg.31
- Computer Misuse Act 2011 s.29(3)(a)(b)
- Trial on Indictments Act s.23
- Trial on Indictments Act s.95(1)
- Constitution of Uganda 1995 art.230(1)
- Constitution of Uganda 1995 art.223
- Constitution of Uganda 1995 art.28(12)
- Judicature (Court of Appeal Rules) Directions SI 13-10 r.30
- Judicature (Court of Appeal Rules) Directions SI 13-10 r.86(1)
Cases cited (16)
- Kifamunte Henry v Uganda (Criminal Appeal No. 10 of 1997)
- Pandya v. R [1957] EA 336
- Bogere Moses and Another v Uganda (Criminal Appeal No. 1 of 1997)
- Eng Samson Bagonza v Uganda (Criminal Appeal No. 2 of 2010)
- Kassim Mpanga v Uganda (Criminal Appeal No. 30 of 1994)
- DPP VS Oscar Leonard Carl Pistorius Appeal No. 96 of 2015 [2015] ZASCA 204 (3 December 2015)
- Justine Nankya v Uganda (Criminal Appeal No. 24 of 1995)
- Okoth Okale v. R. (1955) E.A. 555
- Mugisha v Uganda (Criminal Appeal No. 104 of 2011)
- Simon Musoke Vs R [1958] EA 715
- Teper v. R. (2) AC 480
- Sukuton Ali v Kapkwonyongo and Others (Civil Appeal No. 117 of 2012)
- Sam Kuteesa and Others v Attorney General (Constitutional Reference No. 54 of 2011)
- Kutesa and Others v Uganda (Constitutional Petition No. 46 of 2011)
- Uganda v Tinyefuza [1997] UGCC 3
- Uganda v Katmerere James and Another (Criminal Appeal No. 170 of 2020)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.