Trucks at Nimule border, bringing in market commodities from Uganda and Kenya, the two neighbors South Sudan rely on | File photo

The demand by Ugandan traders of over $400 million for supplying the government of South Sudan with goods has been inflated, a Uganda-based audit firm has established.

The fresh verification of the claims found out that only over six million US dollars of the claims were genuine.

In May 2019, Uganda’s parliament approved 900 billion Ugandan shillings, an equivalent of over $240 million for traders that supplied goods and services to the South Sudan government between 2008 and 2010.

But the traders were not paid following the outbreak of the conflict in 2013.

South Sudan and Uganda then entered into a mutual agreement which ensured that Uganda clears the debt and treats it as a loan to the government of South Sudan.

The MOU covers 10 companies, namely; Rubya Investments, Kibungo Enterprises, Aponye (U) Limited, Afro Kai Ltd, Swift Commodities Establishment Ltd, Sunrise Commodities, Ms. Sophie Omari, Apo General Agencies, Ropani International and KK Transporters.

The country’s finance permanent secretary, Keith Muhakanizi, on Monday told the Ugandan Parliament’s public accounts committee that most of the claims by these companies’ were fictitious and will not be paid.

“Most did not meet the criteria, had no supporting documents, and did not sign any contract with South Sudan government,” he told New Vision.

It turned out that some companies signed contracts with individuals in South Sudan, while others were not even captured by the system at the point of entry making it difficult to pay.

“Some of them signed contracts with individuals in South Sudan, which was not right and others were not even captured by the system at the point of entry making it difficult to pay,” Muhakanizi added.