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Office of the Auditor General OFFICE OF THE AUDITOR GENERAL THE REPUBLIC OF UGANDA ANNUAL REPORT OF THE AUDITOR GENERAL FOR THE YEAR ENDED 30TH JUNE 2009 VOLUME 2 CENTRAL GOVERNMENT TABLE OF CONTENTS CONTENTS PAGE NO. 1.0 INTRODUCTION ……………………………………………………………………………… 1 2.0 GENERAL OBSERVATIONS ……………………………………………………………….. 7 3.0 REPORT OF THE AUDITOR GENERAL ON GOVERNMENT OF UGANDA CONSOLIDATED FINANCIAL STATEMENTS ……………………………………….. 32 4.0 OFFICE OF THE PRESIDENT …………………………………………………………….. 51 5.0 STATEHOUSE …………………………………………………………………………………. 53 6.0 OFFICE OF THE PRIME MINISTER ……………………………………………………. 57 7.0 PUBLIC SERVICE …………………………………………………………………………….. 68 8.0 FOREIGN AFFAIRS ………………………………………………………………………….. 71 9.0 JUSTICE ………………………………………………………………………………………… 75 10.0 FINANCE, PLANNING & ECONOMIC DEVELOPMENT …………………………… 87 11.0 AGRICULTURE, ANIMAL INDUSTRY & FISHERIES ………………………………. 103 12.0 LANDS, HOUSING & URBAN DEVELOPMENT ……………………………………… 120 13.0 WATER & ENVIRONMENT ………………………………………………………………… 125 14.0 EDUCATION AND SPORTS ……………………………………………………………….. 153 15.0 HEALTH …………………………………………………………………………………………. 169 16.0 WORKS, TRANSPORT AND COMMUNICATIONS …………………………………. 183 17.0 DEFENCE ……………………………………………………………………………………….. 200 18.0 INTERNAL AFFAIRS …………………………………………………………………………. 213 19.0 INFORMATION AND COMMUNICATION TECHNOLOGY ……………………….. 217 20.0 LOCAL GOVERNMENT ……………………………………………………………………… 223 21.0 TOURISM, TRADE & INDUSTRY ……………………………………………………….. 240 22.0 ENERGY & MINERAL DEVELOPMENT ………………………………………………… 244 23.0 GENDER, LABOUR AND SOCIAL DEVELOPMENT ………………………………… 261 24.0 EAST AFRICA AFFAIRS …………………………………………………………………….. 264 25.0 ETHICS AND INTEGRITY …………………………………………………………………. 265 26.0 UGANDA POLICE …………………………………………………………………………….. 268 27.0 UGANDA PRISONS ………………………………………………………………………….. 277 28.0 MULAGO HOSPITAL ………………………………………………………………………… 285 29.0 BUTABIKA HOSPITAL ……………………………………………………………………… 289 30.0 NATIONAL AGRICULTURAL RESEARCH ORGANISATION (NARO) …………. 203 31.0 NATIONAL AGRICULTURAL ADVISORY SERVICES (NAADS) ………………… 300 32.0 UGANDA NATIONAL ROADS AUTHORITY ………………………………………….. 319 33.0 NATIONAL ENVIRONMENTAL MANAGEMENT AUTHORITY (NEMA) ………. 342 34.0 JUDICIARY …………………………………………………………………………………….. 345 35.0 DEPARTMENT OF PUBLIC PROSECUTION ………………………………………….. 353 36.0 PARLIAMENTARY COMMISSION ……………………………………………………….. 353 37.0 HEALTH SERVICE COMMISSION ………………………………………………………. 358 38.0 JUDICIAL SERVICE COMMISSION …………………………………………………….. 359 39.0 ELECTORAL COMMISSION ……………………………………………………………….. 360 40.0 UGANDA HUMAN RIGHTS COMMISSION …………………………………………… 364 41.0 PUBLIC SERVICE COMMISSION ………………………………………………………… 366 42.0 UGANDA LAW REFORM COMMISSION ………………………………………………. 367 43.0 EDUCATION SERVICE COMMISSION ………………………………………………… 369 44.0 LOCAL GOVERNMENT FINANCE COMMISSION .………………………………….. 371 45.0 UGANDA BLOOD TRANSFUSION SERVICES ……………………………………….. 371 46.0 UGANDA LAND COMMISSION …………………………………………………………… 373 47.0 UGANDA INDUSTRIAL RESEARCH INSTITUTE ...................................... 379 48.0 UGANDA AIDS COMMISSION ……………………………………………………………. 387 49.0 UGANDA MANAGEMENT INSTITUTE ………………………………………………… 391 ii 50.0 MAKERERE UNIVERSITY …………………………………………………………………. 391 51.0 MBARARA UNIVERSITY OF SCIENCE AND TECHNOLOGY ……………………. 422 52.0 KYAMBOGO UNIVERSITY ………………………………………………………………… 424 53.0 MAKERERE UNIVERSITY BUSINESS SCHOOL …………………………………….. 439 54.0 GULU UNIVERSITY …………………………………………………………………………. 446 55.0 BUSITEMA UNIVERSITY ………………………………………………………………….. 448 56.0 ARUA HOSPITAL ……………………………………………………………………………… 451 57.0 GULU HOSPITAL ……………………………………………………………………………… 452 58.0 JINJA HOSPITAL ……………………………………………………………………………… 453 59.0 MBALE HOSPITAL ……………………………………………………………………………. 455 60.0 LIRA HOSPITAL ………………………………………………………………………………. 457 61.0 MASAKA HOSPITAL …………………………………………………………………………. 459 62.0 FORT PORTAL HOSPITAL ………………………………………………………………… 462 63.0 KABALE HOSPITAL ………………………………………………………………………….. 465 64.0 HOIMA HOSPITAL …………………………………………………………………………… 467 65.0 SOROTI HOSPITAL …………………………………………………………………………. 470 66.0 MBARARA HOSPITAL ………………………………………………………………………. 470 67.0 LONDON MISSION …………………………………………………………………………. 475 68.0 NEW YORK MISSION ………………………………………………………………………. 481 69.0 WASHINGTON MISSION ………………………………………………………………….. 483 70.0 NEW DELHI MISSION ……………………………………………………………………… 484 71.0 CAIRO MISSION …………………………………………………………………………….. 486 72.0 ADDIS ABABA MISSION …………………………………………………………………… 487 73.0 BEIJING MISSION …………………………………………………………………………… 489 74.0 OTTAWA MISSION ………………………………………………………………………….. 492 75.0 TOKYO MISSION …………………………………………………………………………….. 494 76.0 TRIPOLI MISSION ………………………………………………………………………….. 497 77.0 RIYADH MISSION ……………………………………………………………………………. 498 78.0 COPENHAGEN MISSION …………………………………………………………………… 499 79.0 NAIROBI MISSION ………………………………………………………………………….. 500 80.0 DAR-ES-SALAAM MISSION ………………………………………………………………. 505 81.0 ABUJA MISSION ……………………………………………………………………………… 507 82.0 BRUSSELS MISSION ………………………………………………………………………… 509 83.0 ROME MISSION ………………………………………………………………………………. 514 84.0 JUBA MISSION ……………………………………………………………………………….. 524 85.0 KINSHASHA MISSION……………………………………………………………………… 526 86.0 GENEVA MISSION …………………………………………………………………………… 528 87.0 PRETORIA MISSION ………………………………………………………………………… 529 88.0 KHARTOUM MISSION ………………………………………………………………………. 530 89.0 KIGALI MISSION …………………………………………………………………………….. 531 90.0 MOSCOW MISSION …………………………………………………………………………. 533 91.0 BERLIN MISSION ……………………………………………………………………………. 533 92.0 PARIS MISSION ………………………………………………………………………………. 534 93.0 TEHRAN MISSION …………………………………………………………………………… 538 94.0 CANBERRA MISSION ……………………………………………………………………….. 538 APPENDIX: GOVERNMENT OF UGANDA CONSOLIDATED FINANCIAL STATEMENTS iii 1.0 INTRODUCTION I am required by Article 163(3) of the Constitution of the Republic of Uganda and Section 13 and 19 of the National Audit Act 2008 to audit and report on the Public Accounts of Uganda and of all public offices including the Courts, the Central and Local Government Administrations, Universities and Public Institutions of like nature and any Public Corporations or other bodies established by an Act of Parliament. Under Article 163 (4) of the Constitution, I am also required to submit to Parliament by 31st March annually a Report of the Accounts audited by me for the year immediately preceding. I am therefore issuing this report in accordance with the above provisions. This is Volume two of my Annual Report to Parliament and it covers financial audits carried out on Central Government Ministries, Departments, Agencies, Universities, Uganda Missions abroad and the GOU Consolidated Financial Statements. It also includes special audits undertaken upon requests by Parliament and Cabinet. In this introduction, I give an overview of the financial audit work carried out, status of completion of the audits, and a summary of the audit opinions issued on the financial statements of the entities audited. Part II of this report presents the major general observations and cross cutting issues arising from the results of the audits carried out. In Part III, I present my findings and audit opinion on Government of Uganda Consolidated Financial Statements and all the significant findings made on the other audited entities i.e. Ministries, Agencies, Universities, Referral Hospitals and Uganda Missions abroad. 1 1.1 STATUS OF COMPLETION OF AUDITS 1.1.1 Financial audits The Directorate of Central Government is responsible for the audits of 22 Ministries, 21 Departments, Commissions, Agencies; 28 Uganda Missions abroad; 7 Public Universities; 13 Referral Hospitals; Uganda Revenue Authority and the Consolidated Government of Uganda Financial Statements. All the entities‟ financial statements for the year ended 30th June 2009 were audited and audit reports issued separately on each of them. The status of completion of the audits is shown in the table below:- Total Number of Accounts Audited Accounts Ministries 22 22 Departments, 21 21 Commissions, Agencies. Missions/Embassies abroad 28 28 Referral Hospitals 13 13 Public Universities 7 7 Uganda Revenue Authority 1 1 GoU Consolidated Financial 1 1 Statements TOTAL 93 93 Out of 93 entities audited, 37 entities had unqualified opinions, 54 had qualified opinions, 1 disclaimer of opinion and 1 had an Adverse opinion. The table below provides a breakdown of the audit opinions issued. The basis used to arrive at the audit opinion is described in the separate reports issued on individual Ministries, Departments, Agencies, Missions/Embassies, Referral Hospitals and Public Universities. 2 UNQUALIFIED OPINION 1 Ministry of Internal Affairs 21 Riyadh Mission 2 Ministry of Energy and Mineral 22 Geneva Mission Development 3 Ministry of Information and 23 Berlin Mission communication technology 4 Ministry of Tourism, Trade & Industry 24 Canberra-Sydney 5 Ministry of East Africa Affairs 25 Gulu Referral Hospital 6 Ministry of Public Service 26 Soroti Referral Hospital 7 Office of the President 27 Mbarara Referral Hospital 8 Inspectorate of Government 28 Kabale Referral Hospital 9 Department of Public Prosecutions 29 Masaka Referral Hospital 10 Parliamentary commission 30 Butabika Referral Hospital 11 Health Service Commission 31 Uganda Land Commission 12 Judicial Service Commission 32 Uganda Human Rights Commission 13 Public Service Commission 33 Uganda Law Reform Commission 14 Local Govt Finance Commission 34 NARO 15 Uganda Blood Transfusion Services 35 National Environment Management Authority(NEMA) 16 Uganda Industrial Research Institute 36 Education Service Commission 17 Uganda Aids Commission 37 Beijing Mission 18 Uganda Management Institute
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