By KT Reporter
Last month, information started circulating in the public through sections of the media that about 62 billion shillings (17 million dollars) had been syphoned out of Bank of Uganda by hackers.
The alleged hackers were based in East Asia, and called themselves “Waste”. It was later reported that about 11 million dollars destined for recipients in the UK had been traced and the “accounts frozen”.
It has now emerged that the total amount involved was 14.73 million dollars (about 54.172 billion shillings), while the fraud was not the work of anyone in the Central Bank.
However, the Deputy Governor of the Bank of Uganda, Michael Atingi-Ego dismisses reports that staff members of BoU were among those arrested or being investigated.
He said that naturally, as the investigation began, investigators asked some staff in the responsible departments questions to help in the investigation.
He insisted that the investigating agencies have neither implicated nor linked anyone from BoU to the incidents.
Explaining the events so far uncovered, Atingi-Ego admitted that the fraud was committed on two transactions.
They were debt payment transactions with the money destined for two different recipients: the World Bank and the African Development Fund (ADF) but were diverted.
The Bank received instructions from authorised persons and as a paying institution, the Bank effected the payment.
Later, he says, the Bank noticed that the money had not been received within the time expected time, and initial investigations showed that the money had instead been directed to the wrong people.
Two transactions which were related to debt service payments, were made with one to the World Bank amounting to 6.134 million dollars which was instead paid to Roadway Co Ltd through a Japanese bank; MUFG on the 12th of September 2024.
The second transaction was meant to be a payment of 8.596 million dollars to the African Development Fund (AfDF). The money was paid to MJS International London, UK on 28th September 2024.
BOU realised the money was not received by the intended recipients and contacted the investigative agencies.
BoU Instructed Citi Bank and the banks where the funds had been directed to freeze the funds.
The UK bank responded and the account was frozen. An amount of 8.205 million dollars, which is part of that sent to the London bank has since been recovered and efforts are underway to recover the balance of 391,000 dollars.
Funds to Roadway have not been recovered because the banks in Japan have not been cooperative, but efforts are ongoing to have the money recovered.
He therefore dismisses reports that the BoU system was hacked into.
He said hacking involves the act of gaining unauthorized access to the ICT system and networks.
No access was made. The frauds were initiated outside the BOU systems and instructions were received by BOU to pay the wrong entities-URN. Give us feedback on this story through our email: kamwokyatimes@gmail.com
