President Yoweri Museveni has called upon Nelson Tugume, Chairperson of Coffee Investment Consortium Uganda (CICU), to provide an account for $10 million (sh37 billion) that was advanced to him for the coffee value chain. This demand follows public concerns about the misuse of funds and the inability to account for the money.
Tugume’s consortium purportedly received the funds on behalf of other coffee stakeholders under the supervision of the Minister for Science, Technology, and Innovations, Monica Musenero. Musenero, in a letter dated January 15, 2024, informed Tugume about the President’s request for an update on the utilization of the funds.
In her letter, Musenero insisted that Tugume submit a “technical progressive report against the milestones and avails the record of accounts and all accountability documents for an internal audit.”
The controversy surrounding the funds emerged after former Vision Group Chief Executive Officer, Robert Kabushenga, raised allegations of improper conduct against Tugume. Kabushenga, in a post on his X-Platform on January 12, 2024, claimed that the money intended for coffee export trade ended up in Tugume’s private account, dubbing the entire coffee value addition initiative a scam.
Kabushenga’s revelation triggered reactions from various sector players, with a group of X Influencers challenging him. Tugume’s lawyers, AHAMARK Advocates, also demanded an immediate apology and retraction of Kabushenga’s statements.
Kabushenga recounted his interactions with Tugume, highlighting his avoidance of Tugume due to his dubious character. He described a meeting in June 2021, where Tugume, along with Simon Kasyate, visited Kabushenga’s coffee farm. Kabushenga expressed reluctance in associating with Tugume but eventually attended an event at Tugume’s Coffee City in Ntinda.
The controversy deepened when Kabushenga, involved in coffee sector advocacy, learned of Tugume’s request for $5 million to market coffee. Although Tugume confirmed the request, it was decided that the funds should go to a consortium of industry players rather than an individual.
In September 2022, Kabushenga was involved in a coffee stakeholders meeting at State House, where Tugume’s absence was noted. Subsequent interactions revealed Tugume’s involvement with a consortium, charging a membership fee of sh10 million.
Kabushenga’s narrative detailed his limited engagement with Tugume, emphasizing his decision to distance himself from Tugume’s initiatives. Later revelations indicated that Tugume’s consortium, with the assistance of government officials, received $10 million, sparking the current controversy over accountability.
Efforts to obtain comments from Tugume on the matter have been unsuccessful as of the latest update.