KAMPALA, 23 December 2025– The Buganda Road Chief Magistrate’s Court has remanded businessman Muhandiki Andrew in connection with the multi-billion shilling scandal involving the misappropriation of funds meant for teachers’ welfare SACCO.
In a joint operation conducted by the State House Anti-Corruption Unit (SHACU), the Directorate of Criminal Intelligence, and the Office of the Director of Public Prosecutions (ODPP), Muhandiki was arraigned on Tuesday to face charges of theft.
The “Ghost Land” Scheme
The prosecution alleges that in May 2025, Muhandiki, acting alongside several accomplices who are still at large, fraudulently withdrew UGX 815,000,000 from the account of the Uganda Liberal Teachers Savings and Credit Cooperative Society (SACCO).
The theft was reportedly disguised through a “fake agreement.” Investigators reveal that Muhandiki collaborated with former SACCO leaders to create a sham contract. Under this agreement, he was purportedly hired to develop 500 acres of land in Kyangwali.
However, investigations later discovered two major red flags: The land, which the former leaders claimed to have purchased for UGX 2.75 Billion, was found to be non-existent.
It was also established that the contract was a mere “paper trail” designed to justify the illegal withdrawal of members’ savings.
A Wider Web of Corruption
Muhandiki’s arrest is part of a broader crackdown on the mismanagement of a UGX 20 Billion presidential grant. The funds were originally allocated by H.E. President Yoweri Museveni to various Teachers’ SACCOs across the country to improve the financial wellbeing of educators.
The businessman now joins the former Chairperson and Secretary of the SACCO, who were previously charged for their roles in the misappropriation of over UGX 3.6 Billion.
Court Proceedings
Appearing before the Chief Magistrate, Muhandiki was not allowed to enter a plea for the capital offenses at this stage. He has been remanded to prison until January 14, 2026, as police continue their search for the remaining suspects involved in the fraudulent scheme.
The State House Anti-Corruption Unit reiterated its commitment to recovering the stolen funds, emphasizing that the exploitation of teachers’ savings will not be tolerated.
