Kiira Motors can't account for UGX15bn

Kiira Motors Corporation can't account for UGX15 billion of the UGX 24 billion allocated to it in the financial year 2018/19.

The parliamentary committee on Science, Technology and Innovation wants the company probed after finding 'an overgrown bush at the site where the vehicle plant was meant to be established' in Jinja.

Kiira Motors officials were quizzed why there is no single foundation at the large piece of land despite receiving the money seven months ago.

The company reportedly received UGX 8.3bn in Q1 of 2018/19 FY, UGX 4.9bn in Q2 and UGX 6.8bn in Q3 for the establishment of the plant, according to The Observer newspaper.

The Ugandan automotive company recently carried out road tests for their new model Kiira EVS which will cost about UGX130m.

The newspaper quotes one of the legislators on the committee saying: "The progress of the project is not in line with the plan yet the government has made appropriate financial provisions which would give a different level of the target progress. At the moment there is nothing…Indeed what we are seeing, is contrary to what they have been telling us."

The committee claims the project is a 'mere money conduit' after UGX15bn was diverted from the work plan.

The company's CEO told the committee the money had been given to a contractor responsible for the construction of the plant in eastern Uganda.