PDM: Police launch probe into fraud and extortion allegations in Bushenyi

BUSHENYI, December 16, 2025 – Police in Bushenyi district have launched investigations into allegations of fraud and extortion involving beneficiaries of the Parish Development Model [PDM], a flagship government initiative aimed at boosting household incomes.

It is alleged that certain local leaders demanded bribes before releasing the money to the programme beneficiaries.

The investigations were triggered by complaints from three residents of Kakanju Sub-county, Julius Muhanguzi, Grace Kobugabe and Private Nahweera, who were registered as PDM beneficiaries in 2022 but say they have never received any funds.

“The complainants were officially registered as beneficiaries, but up to now they have not received the PDM money,” confirmed Apollo Tayebwa, the Greater Bushenyi Regional Police Spokesperson.

Under the programme, each beneficiary is entitled to a soft loan of Shs 1 million to invest in selected enterprises such as dairy farming, fish farming, poultry keeping, beekeeping and banana growing, among others. According to the programme guidelines, the loans are reimbursed to the parish revolving fund [PRF] after two years, for others to use.

Extortion allegations lead to arrests

In a related development, police are investigating six cases of alleged extortion in which prospective PDM beneficiaries were reportedly coerced into paying sums ranging from Shs 16,000 to Shs 120,000 in order to access the Shs 1 million government loan.

The victims were identified as Arthur Byaruhanga, Beneath Natukunda, Esther Atuheire, Denavence Twikirize and Evelyn Mirembe.

“Preliminary findings indicate that the victims were allegedly required to pay money to some local leaders in order to receive Shs 1 million each under the PDM programme,” Tayebwa said.

Police have identified the suspects as Magoma Hamson, the LCII Chairperson of Kahungye Parish, Nimwesiga Lauben, and four other individuals. Tayebwa confirmed that two suspects have already been arrested.

“We have so far arrested Magoma Hamson and Nimwesiga Lauben to assist police with investigations,” he said.

Tayebwa strongly condemned the alleged illegal practices and pledged that police would pursue the matter fully.

“We strongly condemn such practices and are committed to investigating this matter to its logical conclusion,” he said, appealing to the public to cooperate with authorities. “We urge members of the public to report any form of extortion or fraud related to government programmes so that justice can be served.”

Local leader vows tough action

Meanwhile, the Nyabubare Sub-county Chief, Elly Muhwezi, warned members of PDM committees against extorting money from beneficiaries, vowing decisive action against anyone found abusing the system.

“We cannot continue to watch as our people suffer at the hands of these wolves because of elections,” Muhwezi said. “I will move against anyone who dares to extort money from the vulnerable. Before President Museveni comes for us, we shall already have dealt with them.”

Bushenyi PDM achievements

Despite the reported incidents of fraud, district authorities say Bushenyi has made notable progress in the implementation of the PDM.

The Principal Assistant Secretary, Dan Taritweba, reported that the district has disbursed a total of Shs 17 billion since the 2022/23 financial year, with each parish receiving approximately Shs 308.92 million cumulatively.

“I am happy to report that during the 2024/2025 financial year, we received all the funds before the end of the financial year on 30 June,” Taritweba said. “All the 56 parishes in the district received the money, with each parish receiving Shs 50 million.”

He added that the timely disbursement has placed Bushenyi seventh nationally in the ranking for efficient utilisation of PDM revolving funds.

The Parish Development Model was launched in February 2022 by President Yoweri Museveni, with the aim of transitioning 3.5 million households from subsistence to a money-based economy.

https://thecooperator.news/bushenyi-authorities-urge-timely-repayment-of-pdm-loans/

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