Government Loses Over Shs 1 Billion in Karamoja Stone Dealer Royalties

Government Loses Over Shs 1 Billion in Karamoja Stone Dealer Royalties

Moses Lokiru, Moroto – The Government of Uganda has suffered a significant financial loss due to the failure of stone dealers in Karamoja to remit royalties. Investigations have revealed that over Shs 1 billion was diverted to individuals within the police mineral protection unit deployed in the region.
According to sources, police officers were receiving daily payments of up to Shs 500,000 per truckload of stones, wired directly to their mobile phones. The mineral police allegedly convinced stone dealers that these payments would exempt them from paying government royalties, resulting in substantial losses for the government.
Demand notices from the Ministry of Minerals indicate that numerous stone dealing companies have defaulted on their royalty obligations. Twaha Masha Company, for example, only paid Shs 1.4 million out of a total of Shs 183 million, while Abubaka Kigenyi Company paid Shs 2 million out of Shs 95 million.
A copy of one of the demand letter to one company called Twaha Masha writen by Minister Nankabirwa (Photo by Moses Lokiru
Efforts by Mr. Gerald Eneku to prevent the police from collecting these illegal payments led to threats on his life, forcing him to flee the area. Following intervention by the Moroto Resident District Commissioner, Ms. Jane Francis Amongin Okile, a district security meeting was convened to address the issue and halt stone dealing activities until royalties are paid in full.
Concerned residents have called for the immediate removal of the mineral police unit, accusing them of prioritizing personal gain over the development of the region

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