Committee Chairperson Patrick NsambaBy Prisca WanyenyaThe Public Accounts Committee (PAC) has raised concern over delayed payment to beneficiaries of deceased estates after learning that Shs3.412 billion remains on the estates account managed by the Administrator General.The issue came up during a meeting with the Ministry of Justice and Constitutional Affairs on September 3, 2026 to consider the December 2025 Auditor General’s report.PAC Chairperson Patrick Nsamba questioned why the money was still being held.“We are worried why you are keeping people’s money with you. You even pay some people partially even when you know them. I was looking and tracing for the Shs3.4 billion, it is supposed to be on the public trustee account and the public trustee account you have only Shs72 million instead of Shs3.4Bn,” Nsamba said.The scrutiny followed a query by Auditor General Edward Akol who noted that although Section 17 (a) & (b) of the Administrator General’s Act, 2021 requires the Administrator General to create a comprehensive inventory of each estate and maintain records of all receipts and payments, a review showed total funds available for 380 estates of deceased and 31 Trust Causes amounted to Shs4.07 billion.“However, out of this, only Shs1.43Bn was paid to the estates’ beneficiaries in FY 2024/25, leaving a balance of Shs2.65Bn as at 30th June 2025. I further observed that although Shs3.412Bn remains on the estates’ account, management did not specify the amount to which known beneficiaries are entitled and that which cannot be allocated. Thus, I could not determine the true extent of the liability disclosed,” Akol noted.The Auditor General warned that without identifiable beneficiaries, distribution becomes complex and may require court intervention with associated legal costs, and ownership of undistributed assets might revert to Government. He advised the Accounting Officer to strategise, including placing public notices to find heirs, engaging investigators or seeking court direction.Administrator General Victor Manzi attributed delays to failure by beneficiaries to obtain valid letters of administration and family conflicts.“What I must state is that requirement number one before we effect payment are valid letters of administration. In some instances, families have not availed valid letters. Some conflicts, if families do not agree and end up in court, we halt payment and keep the money,” Manzi said.The Committee was informed the Ministry operates four bank accounts holding the funds: one with Shs175 million, another with Shs72 million, another with Shs1.4 billion, and a dollar account with $470,000.“We have four accounts and the Administrator General doubles as a public trustee. When I talked of a trustee account, I didn’t mean a specific account,” Manzi explained.Nsamba initially questioned why trustees’ funds would be in dollars, saying “We are talking about people’s money, people who died. It cannot be in dollars. You are just trying to be wise and it is very dangerous in this committee.”Manzi clarified the dollar account does not hold gratuity but funds from deceased persons who had dollar accounts in commercial banks.“There are people who die and have dollar accounts. That money is remitted to us. We put it in the dollar account, but gratuity is purely UGX,” he said.The Auditor General also faulted delays in issuing Certificates of No Objection (CONO). Although the Ministry’s Clients Charter 2018 provides that CONOs should be issued within 19 days, a review showed 4,972 applications were received in FY 2024/25.Out of those, only 3,773 files were processed and CONOs issued, reflecting 76% performance, while 1,199 files (24%) were not completed by close of the financial year. Backlog increased by 51% from 792 to 1,199 files.The Ministry attributed backlog to understaffing. Out of 59 approved positions for the Office of the Administrator General, only 44 are filled and 15 vacant, representing 25% gap. Key vacancies include two Commissioners, two Senior State Attorneys and four State Attorneys.The report noted delays may result in family conflicts, mismanagement of estates, child deprivation of school fees, abuse and child labour.Permanent Secretary Robert Kasande said besides understaffing, backlog arises from prolonged family disputes that escalate into court litigation, including disagreements over paternity, validity of marriages and authenticity of wills.The audit also raised concern over growing domestic arrears. The Statement of Financial Position showed accumulated arrears of Shs570.30 billion as at June 30, 2025, up from Shs513.19 billion, an 11.12% increase. Of this, 99.9% relates to war debt claims while 0.1% relates to goods, services and court awards.Accumulation was attributed to verification of new war debt claimants, insufficient budget and failure to adhere to commitment control system. The Auditor General warned continued accumulation leads to increased interest, affects implementation of policies and risks litigation.The Ministry explained partially paid beneficiaries include minors whose payment is continuous based on needs like school fees, pensioners whose payment is continuous, beneficiaries receiving benefits from SACCOS like Uganda Police Force Sacco, UPDF Sacco and shareholdings, and those still processing letters of administration.The Committee was also informed that following Government policy shift to end cattle compensation and focus on restocking, the exercise was taken over by the Office of the Prime Minister.The post Govt Sitting on Shs3.4Bn for Deceased Estates as PAC Queries Delayed Payouts to Beneficiaries appeared first on Business Focus.