PDM beneficiaries fault bank over loss of Shs30m

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PDM beneficiaries fault bank over loss of Shs30m
PDM beneficiaries fault bank over loss of Shs30m

Africa-Press – Uganda. Beneficiaries of the Parish Development Model (PDM) funds in Bugoto and Bumwoza parishes in Kaliro District are distraught after losing millions of shillings following alleged disruptions in an online App attached to Post Bank.

However, the bank has denied this, saying someone must have withdrawn the money from the App.

The Wendi App, which was introduced last October to farmers in the district, is meant to bridge the gap between them and Post Bank.

The App was created to enable the farmers to debit Post Bank, credit their Wendi account, and individual mobile money accounts.

However, some PDM beneficiaries, who used the app, say the money disappeared from their respective group’s Savings and Credit Cooperative Organizations accounts before they could withdraw it.

The Kaliro District commercial officer, Mr Vincent Mukisa, said more than Shs30m was lost and Bugoda and Bumwoza parishes were the most affected.

Mr Mukisa said more than 86 groups were registered to benefit from PDM.

Mr Fredrick Ngobi, a coffee farmer from Bugoda Parish, said the parish chief, Ms Lydia Kawudha, told them to use the App because “it was easier and quicker for them to get PDM money”.

“I was supposed to get Shs1m for PDM on October 3, 2023, but up to now, I am yet to get that money,” he said in an interview at the weekend.

“Last November, we (the affected persons) decided to report the matter to the district security officer and he advised us to open a case with the police, which we did,” he added.

Mr Ngobi said police summoned the Bugoto Parish chief, who reportedly recorded a statement and promised that they would get money on November 23, but on that date, all phones were off.

The Kaliro District chairperson, Mr Elijah Kagoda, said: “The district’s PDM performance wasn’t bad, but it got worse when Wendi came. Our people have been affected because it came to act as a middleman between banks and farmers and in the process, our farmers lost money.”

Mr Kagoda said the district leadership is going to write to the Permanent Secretary in the Ministry of Local Government, seeking guidance on how to go about the issue.

He added that they do not know who owns the Wendi App.

The Kaliro Resident District Commissioner, Mr Frederick Bangu, said he didn’t know about the App until farmers started complaining.

“As the head of security in the district, a search is still on for the people behind this technology,” Mr Bangu said, adding that the security committee and the district leadership are going to convene an urgent meeting to decide on “some pending issues”.

POST BANK RESPONDS

The Post Bank’s regional head of distribution, Mr Martin Lukyamuzi, when contacted, said while developing the Wendi App, they gave it security features which are tailored to the needs and behavior of their clients.

One of the security features is that whenever a credit or debit transaction is carried out on the group account, all members get a notification.

Mr Lukyamuzi said it is possible that the farmers shared their pin numbers with others who could have withdrawn the money from the App without their consent.

He, however, said the farmers should have received a notification of the transaction.

“Additionally, the system has a good audit trail; but we have dispatched our team to carry out investigations,” he added.

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