One would assume that at the time of closure Crane Bank had cash in all its branches, Crane Bank had cash in safes, and money at the Central Bank, what happened to this money? Did it all go to BoU officials as goodwill, under normal circumstances an audit should have been done in the presence of previous crane bank management.
How could Crane Bank limited (In Receivership) under management of a statutory manager appointed by Bank of Uganda spend 475 million shillings in just three months? One would argue that they paid off creditors, can we know which creditors were paid and how much was paid?
Bank of Uganda auctioned and sold CBL to DFCU, the central bank had no inventory report of CBL during the sale of CBL, they relied on audits done by DFCU Bank after almost four months of management by the statutory manager. This DFCU audit didn’t indicate anywhere money found in Bank branches, it’s didn’t indicate balance on BoU account.
Anyway BoU sold the CBL to DFCU at 200 billion shillings, surprisingly DFCU didn’t pay anything to Bank of Uganda. Who took the 500 billion bad book of Crane Bank, this alone was enough to pay off Creditors and leave a balance as per accountability provided to the Auditor general.
Enough of this, the central Bank can not go down this low.