The Independent Uganda: You get the Truth we Pay the Price
Kampala, Uganda | THE INDEPENDENT | Victims of Dunamiscoins Resource Centre Ltd, a blacklisted cryptocurrency exchange have petitioned parliament, in a fresh push for compensation for monies lost in the scam.
These were part of the thousands of Ugandans who lost their money to the exchange which was operating a money lending business with branches in Masaka, Ndeeba, Mbale, Mukono, Lira and different parts of Kampala before it abruptly;y closed at the beginning of last month.
Records indicate that more than 1,000 customers from around the country had deposited money ranging from one million to 800 million Shillings, upon being promised a 40 per cent return on investment. At the time of its closure, the company had collected an estimated 10 billion Shillings from the public.
The closure came days after the Financial Intelligence Authority had frozen three bank accounts of the company found in Centenary Bank, Stanbic Bank and GT Bank.
Now the victims fault the government for clearing a fraudulent firm to operate in Uganda. They are demanding that the government takes responsibility to compensate all persons who had deposited their money with the exchange.
Godfrey Katongole, a businessman who works in Qualicel building in Kampala says he invested in 100 million Shillings with the company.
Christine Mutoni, a vendor from downtown Kampala who invested over 10 million Shillings shed tears before the Speaker alongside other women calling for the government to help them recover their investment.
Authur Asiimwe, another victim says that at first when they joined the company, they were getting the 40 per cent return on investment. Unfortunately, he adds, the company closed after he and his friends opted to increase their investment.
He says he is currently stuck with friends whose lives are in danger because they picked loans and invested in a scam. Asiimwe says that he had personally invested 93 million Shillings at the time Dunamiscoins closed shop.
Sam Lubega, another Victim who lost five million Shillings in the scam faults the government for being cagey about the amount of money on the frozen accounts.
The victims told the Speaker of Parliament Rebecca Kadaga that their faith in the company was driven by president Yoweri Museveni’s endorsement of the company’s activities and the unceasing media advertisements and campaigns.
The team has also written to the President, seeking his intervention in the matter. The Speaker of Parliament Kadaga told the team that she would meet the President and give them feedback on the way forward.
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Government should compensate these people for the following reasons;
-In 2017 Bank of Uganda released a press statement warning the general public.
”whoever wishes to invest their hard earned saving in Cryptocurrency from such as One-coin, Bitcoin, Ripple, Peercoin, Namecoin, Dogecoin Litecoin, Btyecoin, Primecoin, Blackcoin or any other digital forms of currency is taking a risk in the financial space where there is neither investor protection nor regulatory pureview.”
-A year later in May 2018 during during the Africa Blockchain Conference at Kampala Serena hotel.
President Museveni was reported to have publically attacked Bank of Uganda’ Governor Mutebile for being “dogmatic” and unwilling to adapt to new technology.” for the governor’s public misgivings about crypto currencies.
-In 2019 the governor Mutebile was again publically attacked by Hon Kasaijja on the matter of crypto currencies, with the minister declaring the governor clueless about crypto currencies.
All these statements by the president and the minister of finance seemed to falsely reassure the general public about the credibility of crypto currencies but more especially the President’s public and enthusiastic support.
Given that these Ugandan investors made decisions to invest basing on seemingly public assurances by very credible and trustworthy government-of-Uganda officials which and as result they lost large sums of money, government of Uganda has an obligation to compensate these Ugandan investors.
Jam Anguma Richard victim and I was recruited as an agent and I was told to invest before I become an agent please Mr president for u I really have trust in u because u brought an opportunity for digital business but the accounts. Are freezed please help us let them go and in freeze the accounts because our children are now at him I had invested 5.9million and that was the only money I had and my wife has left me jam no where man please Mr president help us we are during now I love your administration due to tight security Mr president excellent for and allowing free businesses thank u so much Mr president
Jam Anguma Richard victim and I was recruited as an agent and I was told to invest before I become an agent please Mr president for u I really have trust in u because u brought an opportunity for digital business but the accounts. Are freezed please help us let them go and un freeze the accounts because our children are now at hom I had invested 5.9million and that was the only money I had and my wife has left me jam no where man please Mr president help us we are believing in u. now I love your administration due to tight security Mr president excellent for and allowing free businesses thank u so much Mr president