Bushenyi: PDM SACCO Chairperson remanded over extortion allegations
The suspect, identified as Hamson Magoma, appeared before the Bushenyi Magistrate's Court on charges of soliciting and receiving a bribe of Shs 102,000
BUSHENYI, February 4, 2026 – The Chairperson of the Magoma Parish Development Model Savings and Credit Cooperative Organisation [PDM SACCO] in Kahungye Parish, Nyabubare Subcounty in Bushenyi district, has been remanded to Nyamushekyera Prison over allegations of soliciting bribes from prospective programme beneficiaries.
The suspect, identified as Hamson Magoma, appeared before the Bushenyi Magistrate’s Court on charges of soliciting and receiving a bribe of Shs 102,000. The prosecution alleges that the money was deposited via mobile money into Magoma’s account as a condition for a resident to benefit from the PDM funds. Magoma has been remanded until February 23, 2026, when he is expected to reappear for further mention of his case.
The Resident District Commissioner [RDC], Emmy Ngabirano, confirmed the arrest yesterday and noted that this is part of a wider crackdown on PDM “saboteurs.”
He cited a recent similar case where another suspect, Agnes Wanjiko, was remanded for allegedly defrauding members of Basajja Market in Ishaka by collecting Shs 16,000 from each individual under the false pretense of enrolling them into the PDM programme.
“The directive from H.E. President Museveni on PDM is very clear: extortionists must face the full wrath of the law,” RDC Ngabirano stated. “These actions curtail the socio-economic transformation agenda of the country. There is no iota of clemency for those who sabotage this programme.”
The RDC further warned PDM officials still at large to surrender to authorities, adding that recalcitrant behavior would lead to draconian measures, including immediate termination of employment for civil servants involved in such vices.
Streamlining PDM operations
In a parallel effort to curb irregularities, the Chief Administrative Officer [CAO], Phionah Sanyu, chaired a PDM performance review meeting at the district headquarters. The meeting brought together Senior Assistant Secretaries, Town Clerks, Parish Chiefs, and Town Agents to address data inaccuracies that have previously hindered the disbursement of funds.
The PDM Secretariat Technical Advisor, Julius Kapwepwe, and the Deputy District Internal Security Officer [DISO] were also in attendance to provide guidance on securing the Parish Revolving Fund [PRF]. The primary objective of the session was to streamline PDM data to ensure the accurate disbursement of the Shs 50 million recently received by each parish in the district.
According to the PDM Focal Person, Gordon Tumuhimbise, the district has disbursed a total of Shs 17,467,048,000 since the program’s inception in the 2021/2022 financial year with each parish receiving a total of Shs 308.92mln. Authorities emphasized that moving forward, strict data management and transparency would be the only way to protect these significant public funds from further exploitation.
Tumuhimbise noted that the 1st batch of PDM revolving funds was received in March 2023 & the grace period of 24 months elapsed in March 2025.
“I am happy to report that during the financial year 20224/2025 we received all the money before even the financial year ended on 30th June, and all the 56 parishes in the district received the money, whereby each parish received Shs 50mln,” he noted
He congratulated all the PDM actors for the roles they have performed well, which has elevated Bushenyi to the 7th position in timely disbursement of PDM revolving funds at national level.
Christine Hope Komujuni, the District Commercial Officer Bushenyi noted that some beneficiaries have started paying back and the recoveries are already benefiting other people who never benefited previously.
She however recorded a challenge of inequality in disbursing the money especially to elders and the PWDs.
“If a parish received Shs 100 million, at least 30 women, 30 youth, 10 elders and 10 PWDs should benefit, but so far we have received complaints from the elders that you are not giving them the money, please do they are part of the beneficiaries,” Komujuni stated.
The official said that the way they received the money should be the way they should repay the money.
“Tell the beneficiaries to repay Shs 1 million plus the interest of 6 percent per annum. If you go back remind them that the repayment period has elapsed, they should start paying back,” Komujuni charged
About the PDM
The PDM was launched by government in February 2022 with the aim of moving poor households to the money economy. Under the programme beneficiaries receive a soft loan of Shs 1 million to invest in selected enterprises such as coffee, piggery, poultry keeping, beekeeping, and others.
The PDM is a flagship socio-economic strategy aimed at eradicating poverty and improving household incomes at the grassroots as a “last-mile” service delivery approach, the programme positions the parish as the lowest administrative and operational centre for planning, budgeting, and implementation of government interventions.
While presenting the Annual Audit Report for financial year 224/25, to the Speaker of Parliament Anita Among days ago, the Auditor General Edward Akol said only Shs 9.340 billion has so far been recovered from beneficiaries of the PDM, despite the government having cumulatively released more than Shs 3.258 trillion into the programme.
The report shows that the recoveries came from 709 PDM SACCOs spread across 30 local governments, out of 10,589 countrywide that have received government funding since the rollout of the programme.
The Auditor General also flagged multiple weaknesses undermining the programme, including funding of non-existent or ghost projects, delays in disbursement to households, implementation of ineligible projects, diversion of funds and cases of duplicate beneficiaries.
Each financial year, the government allocates over Shs 1trn to the programme that has faced some challenges, despite the successes registered.
https://thecooperator.news/pdm-police-launch-probe-into-fraud-and-extortion-allegations-in-bushenyi/
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