Four Equity Bank Employees Incarcerated Over Alleged Shs62 Billion Fraud

Five individuals, including four employees of Equity Bank in Uganda, have been detained at Luzira prison amid accusations of involvement in money laundering linked to the disbursement of Shs62 billion worth of unsecured loans to unqualified individuals.

The five suspects were brought before the Anti-Corruption Magistrate’s Court yesterday, facing charges of obtaining credit through false pretenses, money laundering, and conspiracy to defraud.

Among the accused are Mr. Julius Musiime, the head of Agency Banking at Equity Bank; Ms. Erina Nabisubi, a relationship manager; Mr. Fred Semwogerere, a banker; Mr. Crescent Tumuhimbise Tibarwesereka, a relationship officer; and Wycliff Asiimwe, a distribution and marketing consultant with a microfinance company.

Appearing before Grade One Magistrate Abert Asiimwe for plea-taking, the suspects were informed that the court lacked the jurisdiction to hear their pleas due to the capital nature of the charges.

“You are advised not to plead to these charges in the High Court, which has the jurisdiction to hear the case of money laundering,” Magistrate Asiimwe stated.

According to the prosecution, between 2021 and 2024 at Equity Bank in Kampala City, Ms. Nabisubi, in her capacity as a relationship manager responsible for telecom, allegedly incurred a debt of Shs6.55 billion from the bank, falsely claiming that the loans were being applied for by Gladys Najjemba, who she purportedly presented as meeting the bank’s requirements, which was not the case.

The state further alleges that Ms. Nabisubi obtained a debt of Shs300 million from Equity Bank by falsely representing that the loan was being applied for by Latiffa Nagawa, whom she presented as meeting the bank’s requirements.

It is also alleged that between 2021 and 2024 at Equity Bank headquarters located at Church House in Kampala, Ms. Nabisubi deliberately obstructed the determination of the true ownership of the Shs6.5 billion, falsely claiming that the funds were applied for by Ms. Najjemba as a loan, without knowing that the funds were proceeds of crime.

The prosecution also claims that Mr. Musiime intentionally concealed the true ownership of Shs18 million, which he received as gratification from Stella Mutuuza for fraudulently processing a Shs700 million loan from Equity Bank by requiring her to deposit the former into an account belonging to Gilbert Rwaiheru Kiiza, knowing that the said deposits were proceeds of crime.

State Attorney Raymond Mugisa informed the court that investigations were ongoing and requested additional time to conclude the inquiries. The suspects are scheduled to appear in court again on April 12.

Meanwhile, the court instructed the prosecution, led by Mr. Raymond Mugisa, to expedite the investigations and prepare to commit the suspects for trial.