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The Federation of Motorsport Clubs of Uganda (FMU) has taken a significant step toward resolving its financial dispute with the Inspectorate of Government (IGG) after securing the unfreezing of its bank accounts.
The IGG initially froze FMU’s accounts in August 2024 following a petition from some federation members, including former driver Geoffrey Nsamba and past FMU presidents. The petitioners accused the executive committee of financial mismanagement, particularly regarding government funds allocated to the federation.
This was not the first time FMU faced such action. In early 2023, its accounts were similarly frozen but later unfrozen in May to facilitate the smooth organization of the Pearl of Africa Rally.
Breakthrough in Negotiations
A crucial boardroom meeting held on Wednesday brought together IGG officials, FMU representatives, and the petitioners to discuss the ongoing investigation. One of the key outcomes was the lifting of the freeze on FMU accounts.
“We have therefore agreed to vacate the IGG’s orders and to unfreeze all FMU bank accounts, as well as lift the directive preventing the National Council of Sports (NCS) and the Permanent Secretary of the Treasury (PS/TS) from releasing funds to FMU,” an IGG statement confirmed.
Investigations to Continue
Despite this development, the IGG emphasized that investigations into allegations of financial impropriety within FMU will proceed. The decision to unfreeze the accounts was influenced by concerns over Uganda’s financial obligations to the Fédération Internationale de l’Automobile (FIA) and the potential consequences of missing out on regional and international motorsport events.
This decision comes just a few months after the IGG initially withdrew from investigating FMU’s affairs. Prior to pulling out, the IGG had issued orders for the dissolution of the federation’s administration, a move that sparked widespread debate within Uganda’s motorsport community.
With this resolution, FMU can now resume normal financial operations while cooperating with the ongoing inquiry. The motorsport fraternity will be keenly watching as developments unfold, hoping for stability and transparency in the federation’s management.
