PRESS STATEMENT

Kampala Jan 5th 2017. Following Ugandas victory over the UK- based
oil company Heritage that saw a combined total of USD700m brought
into Government of Uganda coffers; in appreciation of the exemplary
performance of the Ugandan team Government through the office of
the Attorney General recommended that the multi-disciplinary and
multi sectoral team of officials that had participated in a core, noncore and support staff capacity be commended and appreciated by a
Presidential Handshake totaling UGX6bn. The entire team came from
URA, Ministry of Justice and Constitutional Affairs, Ministry of
Finance, Planning and Economic Development and the Ministry of
Energy and Mineral Development
It is standard international best practice for employees to receive
bonus payments/ or honoraria for exemplary performance in both the
public and the private sector. Equally under the Ugandan
Constitution; the President has a prerogative as a fountain of honor to
reward exemplary performance and this has been exhibited in the
fields of health, academia, sports to mention a few.
For the record the payments went through the necessary approvals as
required by the Public Finance Management Act as amended. The
Commissioner General was duly appointed as an accounting officer to
disburse respective payments to designated beneficiaries after
deduction of applicable taxes and other statutory deductions. The
Auditor General duly issued an audit warrant to authorize spending.
In accordance with the accounting officers mandate, the designated
beneficiaries received their payments.
We have noted misconstrued information published in some dailies
and online publications to the fact that payments were illegal, no
approvals were obtained and that government officials hatched a plan
to share the oil bonanza. The published information is followed by an
alleged list of beneficiaries that is inaccurate in terms of names and
amounts attached to them. This is all incorrect. For example the

following people both current and former staff of URA are erroneously
included in the circulating lists namely;- Kyomuhendo Irene, Nabwire
Agnes W, Nyakwera Jennipher, Nanziri Justine Stella, Wabokha
Robert, Sebyala Samuel, Semombwe Charles, Patrick Mukiibi,
Kateshumbwa Dicksons, Saka M Henry, and Otonga Michael Ochan.
The facts are:1. The team brought in a combined total of USD 700m into
government coffers after a series of court battles in Ugandas Tax
Appeals Tribunal, High Court, Court of Appeal; and High Court of
London, Court of Appeal of UK, and two international tribunals.
This was from the Heritage transaction and the subsequent Tullow
transaction.
2. The two cases were an unprecedented win for the country, and the
first of its kind in Africa in the sector of Oil and Gas Taxation.
3. In appreciation of this exemplary performance; the Government of
Uganda granted the team involved an Honorarium or bonus/ or
golden handshake totaling UGX6bn. This represented less than 1%
of the amount brought in or defended.
4. Prior to payments being done; all payments underwent the
necessary approval processes as provided for under the Public
Finance Management Act as amended - for close to a year.
Conclusion:
The Presidential handshake granted to the multi-disciplinary and
multi sectoral team of officials was not illegal and followed all due
government processes. It was meant to appreciate the professionalism
and patriotism exhibited by the team members, especially their ability
to resist all pressure and compromise given the magnitude of the
figures involved.
For more information:
SARAH BIRUNGI BANAGE|Assistant Commissioner Public and
Corporate Affairs
Commissioner General's Office|Uganda Revenue Authority
Office: +256 417 442049|Mob: +256 (0)717 442 714
http://ura.go.ug Twitter@URAuganda Facebook@URApage
Developing Uganda Together