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Naked truth about Crane Bank takeover

By Our Reporter

The Crane Bank take over saga has, for a long time, been the subject of many a newspaper headline. But surprisingly, the actual truth has eluded many. With many media outlets taking the side of the story peddled by Bank Of Uganda as the truth, without as much as an investigation to prove the allegations. Yet, in a gruesome twist of events, the truth is slowly creeping out of the woodworks. An investigation discreetly embarked on by our moles has deduced that Bank of Uganda management might be just a pawn in a comprehensive strategy designed by political big wigs to bring down Crane franchise, and that Crane Bank suffered the first big blow.

This, because according to close sources in Bank of Uganda, no forensic audit report was done for Crane Bank. Furthermore, our sources have it on good authority that when taking over the (Crane) bank, no sales agreement was presented to the Crane Bank shareholders.

“Everything was hastily done. No concrete levels of formality were reached, so the process had to be quick. They preyed on the panic and tension created so that many media houses focused on the takeover, as opposed to investigating the actual truth,” relayed a source at Bank Of Uganda.

According to a big authority in the BOU management (who preferred anonymity to protect his job,) Bank of Uganda has, in bid to cover for the many questionable feats it has been wielding, been selling the wrong stories to the public.

“Like all financial institutions operating with active loan schemes, there will always be bad loans. And if there is a take-over, such loans need to be put in consideration. And their weight determines the type of take-over and the damage therein. Yet in the case of the Crane Bank take-over, BOU didn’t account for the bad loans. And as if that wasn’t enough, Crane Bank might have been going through a bad business period, but it was aggravated by the BOU take over. BOU spent not more than 125bn shillings within three months yet Crane Bank used to spend 90bn shillings a year on its operation. This was a management glitch made obvious when shortly after the BOU take-over, BOU gave salary increment to Crane Bank staff and they were promised job security to please them and a bought sect of the media fraternity. Yet when the situation got tense and the management seemed to be sinking a ship that well way into its redemption, the  Bank of Ug governor fired 351 staff in bid to offset the course of the sinking,” relayed our source in the Bank of Uganda Management.

Worse, still, is how the stories that have made it to the public have been falsely implicating tycoon, Sudhir to have stolen $92m (about 331Bn) yet his investments alone weigh a whole lot more than the money they are alleging his stole.

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