The Deputy Inspector General of Government (IGG), Patricia Achan Okiria, has issued a directive to Multiplex Limited to complete three road projects in Mbarara City within two months. The directive came during a meeting held at City Hall on Monday, July 31, 2023, involving Multiplex Limited, Mbarara City Council authorities, and stakeholders, aiming to find a resolution to complete the city roads without resorting to legal disputes.
The joint contract between Multiplex Limited and Ditaco International Trade was awarded in May 2021, under the Uganda Support to Municipal Infrastructure Development (USMID) project, to construct three roads in Mbarara City at a cost of 23 Billion Shillings. The roads include Major Victor Bwana (0.95 km), Galt Road (0.65 km), and Stanley Road (0.78 km).
Originally scheduled to be completed by April last year, the road works faced multiple extensions due to justifiable reasons provided by the contractor. However, the latest extension until March 28, 2023 has expired, leading to the contract being subject to liquidation damages.
The Deputy Mbarara City Town Clerk, Lilian Kobusingye, confirmed that the liquidation damages period ended on June 18, 2023. The contractor, however, obtained a court order to halt the charges, prompting the need for an adjudicator to resolve the matter amicably.
The meeting, which followed a letter from Deputy IGG on May 15, 2023, aimed to halt the charging of liquidated damages and the termination of contracts awarded to the company until further communication from the IGG’s office. During investigations, issues such as late project commissioning, wrong initial designs, and failure to shift utilities were uncovered.
