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Tension erupts in Karuma over Shs240 million UEGCL Orphanage Fund

Residents gathered at Karuma Town Council headquarters during the meeting on the disputed UGX 240 million orphanage fund on Monday, October 6, 2025.

Karuma, Uganda: Tension erupted on Monday in Karuma Town Council, Kiryandongo District, following disputes over the management of a UGX 240 million orphanage fund intended to support children reportedly fathered by Sino Hydro workers during the construction of the Karuma Hydro Power Project.

The fund, donated by the Uganda Electricity Generation Company Limited (UEGCL), was meant to benefit affected children and vulnerable mothers across Nwoya, Oyam, and Kiryandongo districts. However, on Monday, October 6, 2025, community members accused local officials of irregularities in the selection and verification of beneficiaries.

According to residents, more than 170 children’s names were initially submitted for verification, but many allege that genuine beneficiaries’ names were later replaced with unrelated ones. The allegations surfaced during the official account opening ceremony held at Karuma Town Council headquarters, facilitated by Post Bank’s Bweyale branch.

Several parents and guardians expressed frustration over what they termed as “manipulation of the lists” and favoritism in the final selection process. Some residents, who preferred anonymity for fear of reprisal, claimed that while the first verification list was transparent, the subsequent phases were “corrupted with political influence and personal interests.”

“In the first section, our children were there, but by the second and third lists, their names were gone. We don’t understand who changed them and why,” said one aggrieved parent.

Karuma Town Council Community Development Officer, Fred Wandera, confirmed that the process has faced contention but maintained that the selection followed set guidelines to ensure fairness.

“Beneficiaries were identified from every cell within Karuma Town Council to ensure equitable representation. Verification was done through local structures, and all data was submitted to the district,” Wandera said.

He added that some discrepancies may have arisen due to documentation errors and overlapping claims from different localities.

One caretaker overseeing the distribution revealed that certain areas received significantly fewer slots than others. “In Okwece Cell, only eight children were approved. Gwara III got three, yet Karuma Township took the lion’s share of the beneficiaries. That’s what has caused tension,” the caretaker told DailyExpress.

The UGX 240 million fund was reportedly established to provide educational and welfare support for children born to Ugandan women and Chinese workers employed by Sino Hydro Corporation, which constructed the Karuma Hydro Power Project under the supervision of UEGCL.

Community leaders have since called for an independent audit of the beneficiary lists and urged authorities to ensure transparency before disbursing the funds. District officials are expected to convene a crisis meeting later this week to address the grievances and restore community trust.

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