Gulu University Officials Arrested Over Sh530 Million Financial Loss

Four officials from Gulu University, among them Accounting Officer David Obol Otori, have been arrested on the orders of the Public Accounts Committee (PAC) of Parliament after being implicated in a Sh530 million financial loss to the Government.

The arrests were made at Parliament following a heated PAC session on Tuesday.

The officials had appeared before the committee to answer to queries raised in the Auditor General's report for the 2023/2024 financial year.

The committee found them culpable of negligence in the management of a Sh30 billion contract with a Chinese firm for the construction of a business centre at the university.

According to PAC, the officials failed to meet key contractual obligations, resulting in costly delays and subsequent interest charges amounting to Sh530 million.

“We cannot allow such negligence to go unpunished,” one committee member said.

The committee unanimously resolved to hand over Obol Otori and three members of the university’s contracts management committee to the Criminal Investigations Department (CID) for prosecution.

In addition to the flagged contract mismanagement, the officials were also faulted for failing to recover Shs14.75 million from three former university employees.

The failure to trace and recover these funds further deepened concerns about the institution’s financial governance.

“The continued lack of enforcement on financial accountability is breeding impunity,” another PAC member remarked during the session.

The committee also raised alarm over academic inefficiencies at the institution.

In a separate concern, PAC revealed that 147 students enrolled in master's programs at Gulu University had significantly overstayed, with four students having been on the program for as long as 12 years.

Other cases included three students who have spent 9 years, one student at 8 years, another at 7 years, and 14 students still enrolled after 6 years.

“This is a worrying trend that reflects not only poor supervision but also resource waste,” the committee observed, urging the university administration and the Ministry of Education to take corrective action.

The arrests and the committee's findings have placed Gulu University under intense scrutiny, amplifying calls for accountability and reform in the management of public institutions.