Parliament’s committee on commissions, statutory authorities and state enterprises (COSASE) has unearthed another fraud where 4,458 Crane Bank Loan Accounts were duplicated.
The committee chairperson, Abdul Katuntu, says that after srutising a list of Crane Bank loans tabled by BOU on a CD, they discovered that over 4458 loan accounts were duplicated, with several different borrowers sharing account numbers.
“One thing which we have noted with the auditors from the CD is that there was a lot of duplication of loans and advances which were transferred to DFCU. With this kind of duplication, it is very difficult for us to tell the exact picture of the loan portfolio. Why is it that BOU has never seen this?” Katuntu wondered.
Katuntu, though, did not give any details about the duplicated accounts. He said the auditirs were still reviewing the information.
In the meeting yesterday, the BOU team led by Mutebile did not respond to the issues raised by Katuntu.
Parliament is currently investigating circumstances under which BOU closed seven defunct banks which include Teefe Trust Bank Ltd, International Credit bank (1998), Green Land Bank (1999), Co-operative Bank (1999), National Bank of Commerce (2012), Global Trust Bank (2014) and Crane Bank (2016).