A duplicate Cooperative Bank was incorporated in 1997.

  • Posted on: 6 February 2019
  • By: sanyu-fm-news

Meanwhile, information given to MPs this morning indicated that a duplicate Cooperative Bank was incorporated in 1997.

The Cooperative Bank was eventually shut down in 1999.

The shareholders of COOP bank who appeared before the COSASE today led by Ivan Asiimwe told MPs that their bank was incorporated in 1964, but in 1997 another bank was incorporated with the same name and took over their business.

Documents relating to the ownership and shareholding of the second bank show a number of individuals owning shares including the government, which was represented by the auditor general john Muwanga who was then an officer in the finance ministry.

The others are John Nsereko, William Kalema, Anthony Sekweyama and Fred Nyakaana among others.

None of these individuals were present today.

Asiimwe told MPs that Bank of Uganda should explain which bank it shut down.

This revelation forced the chairman of the committee Abdu Katuntu to suspend proceedings for 15 minutes in order to confer with the Bank of Uganda.

A representative from the Central Bank supervision department stated that he needed time to consult with the Uganda Registration Services Bureau, on which bank had been granted license to operate and eventually shut down.

Katuntu later ruled that the meeting with COOP bank be pushed to 10am tomorrow, for a three way meeting between the old and new COOP bank owners.

Bank of Uganda has also been invited to iron out the controversy.