Uganda Telecom, UTL Offices

The debacle that befell Uganda Telecom UTL, is well documented in bold and now the struggling telco faces yet another nail in the coffin over a statement tabled by the former leader of opposition Hon. Nandala Mafabi citing mismanagement of the firm and  some of the house members want the current management to step down, while investigations carry on why the national carrier floundered.

It seems all efforts to contain its sad state have proved futile, something that might have prompted this inquiry in the  first place. UTL management has on several occasions come under fire but today an action has been taken, issuing travel bans to top management so as to aid the investigations on what went wrong. Those facing the ban include Board Chair Stephen Kaboyo, James Wilde, David Nambale and Moses Mwase.

FROM OUR SPONSOR- Continue for more content

Its revitalization efforts of contracting a new CEO and changing course to now address the enterprise solutions market have faced headwinds such as under capitalization and operating under a deficit with liabilities amounting to 366 billion shillings. UTL owes the Uganda Revenue Authority  a tune of 58.4 billion shillings in tax liabilities for the period of May – December 2015, It also owes MTN Uganda 8 billion shillings in Interconnection charges plus the regulator, UCC a tune in upwards of  22.4 billion shillings.

The telco was expected to be in a sound position by September 2015 after a cash injection of $65 million but this hasn’t come into fruition except allegations of it closing shop, non-compliance issues rising up, suits and now public investigations. The house has since ordered setup of  a committee to carry out a forensic audit of the firm in order to ascertain what went wrong and who is accountable.