The Public Accounts Committee of Parliament expressed dissatisfaction with officials from Mulago Specialized Women and Neonatal Hospital over allegations of mismanagement of funds allocated during the fiscal year 2021/2022. The hospital received 25.3 billion shillings from the Ministry of Finance, but only 24 billion shillings were accounted for, leaving a discrepancy of 1.3 billion shillings.
During the interface with the hospital officials, the committee uncovered irregularities in the allocation of funds. An amount of 1.2 billion shillings was diverted from the budgeted activities to procure three vehicles for the hospital without obtaining the necessary approvals. This financial irregularity drew severe criticism from the legislators.
Furthermore, the committee raised concerns about the storage of medicines at the hospital. The fridges housing cold chain medicines were kept in a non-ventilated room, leading to a retention of emitted heat, which could potentially compromise the efficacy of the medications.
Another issue brought to light was related to tax remittance. Despite deducting 785.97 million shillings as Pay As You Earn (PAYE) from employees’ salaries, there was no evidence of remittance to the tax authority (URA). This failure to comply with tax regulations could result in penalties and fines imposed by the tax body.
The committee initially faced disagreements over the content and motive of a chit transferred from the technical wing to the officials before the questioning began. However, after a 30-minute debate, the committee decided to proceed with the inquiry.
In response to the committee’s queries, Dr. Evelyne Nabunya and the hospital officials provided explanations for the mismanagement of funds and the lapses in financial practices. They assured the committee that they would take necessary corrective measures to address the highlighted issues.
The Public Accounts Committee cautioned the technical wing against breaching committee rules and emphasized the importance of adherence to proper procedures during such hearings.
As the investigation into the mismanagement of funds at Mulago Specialized Women and Neonatal Hospital continues, the committee remains committed to ensuring accountability and transparency in the utilization of public resources.
This spotlight on the issue underscores the significance of proper financial governance and oversight to safeguard public funds and deliver efficient healthcare services to citizens. The committee’s efforts are geared towards promoting responsible management of public resources for the benefit of the nation’s healthcare system.
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