In what is turning out to be a farce for the country’s investment body, the interdicted Uganda Investment Authority Executive Director Jolly Kaguhangire who was sent on three-month interdiction last evening by UIA, has written back calling the decision to throw her out “illegal, invalid and incurably wrong”.
Kaguhangire who was accused of many wrongs including illegal recruitments, favouritism, leaking UIA secrets to the media, insubordination among other wrongs has now said she will not be stepping down because the board had no powers to suspend her.
Emely Kugonza together with six other UIA Board Members had interdicted Kaguhangire after aggrieved staff and other whistle blowers pointed out grave faults that the Executive Director continued to do.
In a letter that this website exclusively obtained, Kaguhangire laid bare her grievances why she felt unfairly treated and cited grounds on which the board had no powers to send her away.
This latest stand-off now leaves Uganda’s Investment Body in turmoil as power struggles and in-fighting take centre stage.
We reproduce Kaguhangire’s letter below;
REF: UIA/ED/06/18 27th June 2018
The Chairman, Board of Directors, Uganda Investment Authority. Dear Mr. Emely Kugonza, RE: INTERDICTION
In reference to your letter Ref: UIA/BOD/06/2018 dated 26th June 2018, the above captioned refers. I would like to bring to your attention the fact that the Board decision made in the 510 Board meeting is invalid, ultra vires, illegal and incurably void ab intio.
In accordance with the laws and regulations governing UIA, standard corporate practice and governance, and the principles of equity, this interdiction is not a Board decision and I am not complying with it because of the following reasons:
- The Board Meeting did not have quorum. Reference is made to Board Manual Section 3.5.2, the Investment Code Act Section 7 and the First Schedule where it puts the quorum at 8 Members. Section 4.1.2 (a) of the Board Manual further states that the chairperson should satisfy himself that the meeting is duly convened and is quorate at all material times. Please note that at the time of the decision three (3) Members had left the meeting. Initially nine members of the Board signified their attendance of the meeting by recording and signing their presence. A non-quorate illegal meeting of only six members made the impugned decision.
- Section 4.4.1 of the Board Manual prohibits the participation in the deliberation of matters in which a Member has an interest. It is on record that one of the Board Members has personal conflict with me and participated in the deliberations and voting of the Board to my prejudice.
■ In accordance with Section 4.1.2 (b), the discussions of the Board should follow the sequence of the agenda as adopted. The issues in respect of the Executive Director were not part of the items on the Agenda as adopted. It should therefore never have arisen and was not available for discussion.
- The notice of the Board meeting should be given to the Members not less than a period of 7 days which was not the case for this meeting. The effect of this malfeasance alone renders the entire impugned Board meeting illegal and no decision taken at such a meeting has any legal effect.
■ The allegations that were made against me are unfounded and totally baseless and I remain available to answer all of them satisfactorily in an unbiased forum. The purpose of this letter, therefore, is to inform you that the Board decision in the aforementioned meeting to interdict me is irregular, void and illegal. This letter also serves to inform you that I am still in office as the UIA Executive Director carrying out my duties and the mandate of the Authority. Any decision made by any other officer on behalf of the Authority is null and void.
Yours Sincerely,
Jolly Kaguhangire
EXECUTIVE DIRECTOR