Roko Construction speaks out on LOP Visit

Roko Construction Limited has spoken out on why honchos led by Leader of Opposition , Hon. Joel Ssenyonyi were denied access to its premises.

The incident happened on the morning of October 14th, 2024 at the construction giant offices in Kawempe.

In a statement issued after the standoff, Roko said the opposition chief was notified in a letter dated October 10th , 2024 on why his oversight visit will not be entertained.
“Roko Construction Limited was notified of the Leader of Opposition’s intent to conduct an oversight visit at our premises on Monday, 14th October 2024,’ management said.

“However, this request was respectfully declined, as stated in their letter dated 10th October, which was delivered to Parliament on the same day in both hard and soft copies.”

The statement added “Although the Government of Uganda (GoU) holds a preferential shareholding in Roko Construction Limited without voting rights, its investment entitles it to receive a fixed annual dividend. This investment will be repaid over a period of eight years, during which Roko is expected to achieve the desired level of sustainability.”

According to the terms andd conditions of the preferential agreement, the Government of Uganda exercises oversight of this investment through two GoU representatives who sit on the Roko Construction Board and chair the Audit Committee, ensuring effective internal controls within the company.
“Roko has not breached the terms and conditions of the preferential shares agreement with the government of Uganda”, the statement concluded.

Legal experts spoken to for this story say the Leader of Opposition is not mandated to carry out oversight on a privately owned company.
” Even companies where government holds 49% shareholding, government cannot do oversight on them and for the case of Roko, government just bought preferential shares which will be paid back within a period of eight years. In short, government is not a shareholder in Roko Construction Ltd,” the legal expert said.

Ssenyonyi is understood to have written to the firm on October 8th, this year requesting permission to conduct oversight. However, ROKO through its director Mark Koehler responded two days later denying them the leeway.
Despite this, Ssenyonyi, accompanied by lawmakers including Gorett Namugga (Mawogola South, NUP), Santa Okot (Aruu North, PPP), David Lukyamuzi Kalwanga (Busujju County, NUP), and Frank Kabuye (Kassanda South, NUP), arrived at the company premises, hopeful they would be allowed in
However, they were met by a closed gate, which they banged on for several minutes in vain, until an unnamed Head of Security, dressed in green, engaged them through a narrow opening.
The officer informed them that he had instructions not to allow them in, prompting Ssenyonyi to question why they were being denied entry despite the company receiving sh263 billions of taxpayer money.
“I got a copy of the letter. I am the head of security here. I am supposed to be notified of everything that goes on here. Don’t push the gate. With due respect, also respect my job
dears,” the officer said.
After failing to resolve the standoff, Ssenyonyi left the premises with his tail between his legs, lamenting that he had been denied his rightful duty.
ROKO was established in 1969 by Max Rohrer and as of 2021 was employing close to two thousand workers. Over the years, the firm has pulled off magnificent projects which include Uganda Martyrs Basilica-Namugongo, Mapeera House and Justice, Law and Order Sector (JLOS) House among others.
However, it has recently faced economic challenges.

On July 15, 2022, state minister for finance Henry Musasizi while appearing before the line committee divulged plans by the Government to acquire 150,000 ‘Preferential’ shares which is equivalent to Shs 202.13 Billion.
Musasizi said this acquisition would invigorate the local construction industry and prevent capital flight.
“As Government we are interested in having a leading construction company in Uganda which is ROKO, so that we prevent the current and existing capital flight which we are experiencing in the construction industry. In the last Financial Year (2021/22) alone, we have close to 1 trillion shillings’ contracts being given to foreign companies. And all this money is going away,” he decried.