Shs4.2bn LC1 Bicycle Scam : Museveni Pardons Former Convicted PS John Kashaka

President Yoweri Museveni has pardoned John Muhanguzi Kashaka, the former Permanent Secretary in the Ministry of Local Government, who was serving a 10-year sentence for causing a financial loss of Shs4.2 billion in the infamous LC1 bicycle scam.

Kashaka, along with five others, was convicted by the Anti-Corruption Court in 2014 for his involvement in the botched procurement of 70,000 bicycles intended for Local Council 1 chairpersons across Uganda. The scam caused the government a substantial financial loss when Kashaka and his co-accused contracted a fraudulent company, Ammam Industrial Tools and Equipment Limited, to supply the bicycles from India. The court handed them a 10-year imprisonment sentence, barred them from holding any government office for a decade, and ordered them to compensate the government for the loss.

Despite multiple appeals, Kashaka failed to overturn the conviction. His last attempt in 2023 saw the Supreme Court in Kampala uphold the 10-year sentence.

However, in a surprising turn of events, Uganda Prisons announced on Thursday, October 3, 2024, that President Museveni had pardoned Kashaka, effectively reducing his sentence and awarding him compensation. Kashaka has been released after serving five years, two months, and 60 days behind bars.

“Today, October 3, 2024, John Muhanguzi Kashaka has accordingly been released on pardon of the sentence and award of compensation after serving a period of five years, two months, and 60 days in prison,” Uganda Prisons stated.

In addition to Kashaka’s pardon, Henry Bamutura, the former principal accountant who was also implicated in the scandal but had passed away, was posthumously pardoned by the President.

This decision has raised eyebrows among anti-corruption campaigners, as the LC1 bicycle scam is one of Uganda’s most significant corruption scandals, highlighting the ongoing challenges of corruption within government institutions. The pardon of Kashaka, despite his conviction and failed appeals, will likely spark public debate on accountability and justice.