Lubega Institute Disputes 300-Student Figure, Says About 80 Linked to Suspected Shs180m Fraud

IGANGA, Uganda — Management of Lubega Institute of Nursing and Health Professionals has disputed claims that more than 300 students are implicated in alleged fee-payment fraud at the institution, saying its records point to about 80 students in connection with the suspected financial irregularities.

The institute’s owner, Dr. Lubega Muhammad, said the institution estimates that the suspected scheme may have caused losses of approximately Shs180 million, a figure he said differs significantly from the more than 300 students cited in Parliament.

Dr. Lubega said the institution was concerned about what it described as inaccurate information presented on the floor of Parliament regarding the alleged fraud.

“We condemn, in the strongest possible terms, the decision by the Honourable Member to go onto the floor of Parliament and make allegations that, according to the information and records available to us, are inaccurate,” Dr. Lubega said.

His remarks come amid an ongoing dispute surrounding alleged irregularities in the payment of students’ fees at the Iganga-based institution.

The matter was recently raised in Parliament by Hon. John Musila, the Member of Parliament for Bubulo East County, who alleged that more than 300 students, including finalists, had been affected by fee-payment irregularities at the institution.

Musila said some students had reportedly paid fees through an agent associated with the school and received clearance from the accounts office, only to later be accused of defrauding the institution.

The allegations have since triggered a dispute between the legislator and the institute management over the number of students involved and the circumstances surrounding the alleged financial losses.

Institute challenges parliamentary claims

Dr. Lubega said public officials have a responsibility to establish the facts before making serious allegations that could damage the reputation of individuals, businesses or educational institutions.

While acknowledging that Members of Parliament enjoy parliamentary privilege for statements made during parliamentary proceedings, he argued that such privilege should not, in the institute’s view, be used to disregard available records or make claims that could unfairly damage the institution.

He said Lubega Institute was prepared to use appropriate legal and institutional mechanisms if information the institution considers false continues to be circulated.

“If necessary, we shall pursue the appropriate legal and institutional channels available to us to ensure that the facts are established and that the interests of the institution are protected,” Dr. Lubega said.

The institute has consequently called on Musila to engage its administrators and the relevant authorities to establish the facts surrounding the disputed payments and determine how the alleged losses occurred.

MP’s daughter among those named by institute

In another development, institute administrators have alleged that Hon. Musila’s daughter, whom they say was a student at the institution, is among those implicated in the suspected financial irregularities.

According to the administrators, she is alleged to have caused a loss of approximately Shs2 million to the institution.

The institute has urged the legislator to cooperate with its administrators and police as investigations continue, rather than making statements that management says could negatively affect the institution’s reputation.

However, the allegation involving Musila’s daughter has not been established by a court, and no finding of criminal liability has been made against her.

Police investigations into the matter are still ongoing. 

Parents engaged over alleged losses

The institute said it has begun efforts to recover money it believes was lost through the suspected fraud.

According to management, parents of students implicated in the alleged irregularities are being engaged in discussions aimed at finding ways of restoring the money to the institution’s accounts.

The institute maintains that the investigation should establish how the disputed payments were made, who received the money, how the transactions were recorded and who may ultimately be responsible for any losses.

Police are also continuing with investigations to establish the full circumstances surrounding the allegations, identify all persons who may have been involved and recover any funds that may have been obtained through fraudulent means.

Figures remain disputed

The disagreement over the number of students involved has become one of the central points in the unfolding controversy.

While the parliamentary account referred to more than 300 students, Lubega Institute says its internal records identify approximately 80 students allegedly connected to the suspected fraud.

The institute also estimates the alleged financial loss at approximately Shs180 million.

These figures remain disputed and will ultimately have to be tested against institutional records, payment documentation, statements from students and parents, and evidence gathered by investigators.

The controversy also comes at a sensitive time for students, particularly those approaching completion of their nursing and health-professional programmes, as any unresolved dispute over fee payments could potentially affect their academic progression and clearance.

Police probe continues

Police are investigating allegations including suspected forgery, uttering forged documents, obtaining money by false pretences and impersonation in connection with the disputed payments.

Investigators are expected to establish whether payment documents were genuine, whether students made the payments claimed by the parties involved, whether school records accurately reflected those payments and whether any individuals unlawfully obtained or diverted funds.

The police investigation is also expected to clarify the respective roles, if any, of students, agents and other individuals who may have participated in the disputed transactions.

Until the investigation is completed and any resulting cases are determined by a competent court, the allegations against the named individuals remain allegations.

The dispute between Lubega Institute and the legislator therefore remains unresolved, with the institution insisting that its records tell a different story from the one presented in Parliament.

For now, the competing claims over the number of students involved and the amount of money allegedly lost remain subject to verification as police continue with investigations.