Former NSSF Managing Director Byarugaba runs to Court over denial of Contract

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Kampala, Uganda.

Richard Byarugaba, the former managing director of the National Social Security Fund (NSSF), has filed a petition with the civil division of the High Court, contesting the decision not to renew his contract. Byarugaba is also seeking an order to compel Gender, Labour, and Social Development Minister Betty Amongi to fulfill her statutory obligations and reinstate him as the MD of NSSF, a recommendation supported by the board and mandated by law.

Byarugaba asserts that the rejection of the board’s recommendation to renew his contract was procedurally flawed as it deprived him of a fair hearing, thereby infringing upon his legitimate expectations. Court documents reveal that Byarugaba has held the position of MD since August 1, 2010, and his second term, which commenced on November 29, 2017, ended on November 30, 2022.

The dispute escalated when Amongi allegedly attempted to terminate Byarugaba’s second term ahead of schedule, contending that he should have retired upon reaching the age of 60. Byarugaba asserts that, aided by the intervention of the Attorney General, he was able to complete his full term despite this attempted termination.

According to evidence presented, the NSSF board of directors and the Attorney General supported renewing both Byarugaba’s and his deputy Patrick Ayota’s contracts. Despite this, Amongi renewed only Ayota’s contract, deferring Byarugaba’s extension on the grounds of financial impropriety, contractor collusion, defiance of presidential orders, misrepresentation, and corruption, among other allegations.

In response, Byarugaba claims that Amongi’s decision-making process was biased and lacked due process. He points out that the decision disregarded the February 2023 report from the parliamentary select committee, which absolved him of financial wrongdoing. Furthermore, Byarugaba argues that the Inspector General of Government’s report cleared him of various allegations and endorsed the board’s recommendation based on his past performance.

Byarugaba contends that Amongi’s refusal to heed President Yoweri Museveni’s directive to conclude his reappointment process, combined with her rejection of the parliamentary committee’s findings, renders the decision not to renew his contract unlawful, irrational, unreasonable, and procedurally incorrect.

Under Byarugaba’s leadership, NSSF has grown to encompass a membership of 2 million individuals and assets totaling Shs 17 trillion. Byarugaba’s legal team, Byenkya, Kihiika, and Company Advocates, have filed the suit, which now awaits assignment to a judge for hearing.

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