By Alexender Mugume
Parliament has directed the Uganda Police Forces’ Exodus Savings and Credit Cooperative (SACCO) to stop mandatory deduction of personnel salaries as savings.
The Committee on Defence and Internal Affairs discovered that the SACCO’s management is violating the Cooperatives Societies Act by denying them the option of voluntary saving.
This was contained in the committee’s report on the inquiry into the operations of the Uganda Police Force Exodus SACCO that was presented by the chairperson, Wilson Kajwengye, during plenary sitting yesterday.
He added that the stopped deductions should only apply to savings and not loans, stating that all members with outstanding loan obligations should continue to pay the SACCO.
The committee further urged Parliament to direct the Office of Registrar of Cooperatives and Bank of Uganda to institute an independent forensic audit on the Exodus SACCO, as mandated by law.
The Minister of State for Internal Affairs, Gen. David Muhoozi, justified the mandatory deductions, saying that it is aimed at improving the welfare of the officers, just like is the case with the Army’s SACCO.
Deputy Speaker Thomas Tayebwa, however, disagreed with the minister, saying that mandatory deductions of members’ salaries contravened the law.
He directed the Minister of Internal Affairs to present an action-taken report within three months.
