Rwanda: Auditor General Names Public Entities That Could Lose Tens of Billions in Court Battles

The Rwanda Energy Group (REG), and the Rwanda Social Security Board (RSSB), are among public entities which are battling court cases in which the plaintiffs seek Rwf38 billion, Auditor General Alexis Kamuhire has disclosed.

Kamuhire made the disclosure while presenting to a joint session of Parliament, his annual audit report findings for the 2021/2022 fiscal year which ended on June 30, 2022.

He told senators and MPs that no agreement has been reached between the public entities and litigants in question.

Listing the implicated entities, he cited REG which he said is being sued for Rwf24.6 billion.

Other entities, he said, are RSSB against which a legal action has been taken, where the supplier seeks Rwf4.6 billion, and the Rwanda Agriculture Board (RAB) which is grappling with cases where a supplier wants to be paid Rwf614 million.

Kamuhire added that Gisagara District is being sued by a supplier who is asking for payment of Rwf570 million, while a claim is brought against Nyanza district by a supplier who seeksa payment of Rwf522 million.

Meanwhile, he said that other funds for which disputes are still ongoing involve the Ministry of Sports (MINISPORTS) where residents have not yet gotten compensations, and the Ministry of Infrastructure (MININFRA). For MININFRA, he pointed out, the dispute is related to Rwf6 billion tax that has to be paid to Rwanda Revenue Authority (RRA).

While speaking during a press conference held on Wednesday, May 3, at the Office of the Auditor General, Kamuhire said that exposing those entities was a practice to indicate where a problem lies with a view to ensure that it is addressed.

He observed that the funds implicated in the aforementioned cases are a significant amount, and that the Government risks incurring losses from them, if they are not carefully handled.

“Concerned entities should make a follow up on these cases so that the Government does not incur losses [stemming from them],” Kamuhire recommended.

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