Top government officials have renewed their commitment to dismantling gold fraud networks that have tainted Uganda’s minerals sector and damaged investor confidence.
The follow-up meeting, held on Wednesday 13th August 2025 at the State House Investors Protection Unit (SHIPU) offices in Kampala, brought together key stakeholders to address the rampant scams targeting gold traders.
Permanent Secretary of the Ministry of Energy and Mineral Development, Eng. Irene Batebe, warned that fraudsters predominantly operate in the gold trade, with numerous investors falling prey to fake deals.
The gathering follows a January 2025 meeting in which heads of government agencies agreed on the need for stronger measures to curb fraud and restore the country’s economic image.
Eng. Batebe stressed the importance of inter-agency cooperation, urging, “We must really work together if we are to tackle this challenge. Efforts must be coordinated in an ecosystem arrangement so that in the future we can as well consolidate on them.”
She revealed that her ministry has studied Tanzania’s regulatory framework and plans to adopt similar measures, noting, “Unlike Tanzania, Uganda lacks designated points of sale and purchase of gold. We are working with the Attorney General to come up with a law to enable us to set up designated places for mineral markets and buying centres to overcome black markets and fraud.”
“In Tanzania, you don’t just sell to anyone, gold is recorded and tracked, even if they are exiting the country,” she explained.
She disclosed proposals to establish Entebbe and Busia as gold selling centres, while Kassanda, Moroto or Kotido would serve as buying centres, warning, “Whoever will be caught trading outside these places, will be marked as a criminal.”
According to her, the Bank of Uganda’s gold purchase program will help create competitive prices, forcing black market traders to operate transparently.
Eng. Batebe also revealed plans for a digital platform to track gold transactions and automate revenue collection, while calling for tighter border patrols to combat smuggling.
She advised joint efforts against online scams, announcing that officials had agreed to set up a cyber desk at the Uganda Police Force to monitor digital mineral fraud.
A search registry for mineral dealers will also be created, alongside a technical committee meeting monthly to address sector challenges.
Brig. Gen. Henry Isoke, Head of the State House Anti-Corruption Unit, called for bold regulatory reforms, stating, “We should strengthen strategic collaboration among government agencies if we are to achieve our goal. We need to move faster, timeline is key, engage the Attorney General, Cabinet and have a law in place to regulate the sector.”
SHIPU Head, Col. Edith Nakalema, urged heightened vigilance throughout the gold trade chain, saying, “This calls for heightened vigilance along the gold fraud journey in each of our roles.”
She reminded participants that SHIPU’s mission is to protect investors from fraudulent actors as well as bureaucratic delays, stressing, “It is necessary for all of us to appreciate the urgency of curbing this vice as a national imperative. This will inspire proactive collaboration from which firm action is triggered.”
Col. Nakalema outlined the need to address the root causes of fraud, manage risks in payment processing, empower investors, and ensure decisive enforcement.
“In our first meeting in January, we spoke with one voice. What brings us here today again joined by other stakeholders is because we still have a common enemy,” she said. “However, to triumph over our adversary, we have to ensure that our strategic cooperation does not fizzle out into unconstructive combined effort. Such a lapse would only risk making our united front predictable to scammers.”
She also commended Brig. Gen. Isoke’s unit for a recent sting operation that led to the arrest of seven suspects accused of defrauding a Nigerian businessman of USD 70,000 in a sophisticated fake gold deal.
Representing the Inspector General of Police, AIGP Frank Mwesigwa described gold fraud as “a big elephant in the house” that must be confronted urgently.
“In 4 months, 48 cases have been reported,” he said. “We can only fight this scam when we are working together. With policy interventions in place, we will be able to overcome the issue.”
Brig. Gen. Mike Kisame, Head of Aviation Security at Entebbe International Airport, observed that gold fraud often involves highly connected individuals, both financially and politically, and urged collaborative enforcement to dismantle such networks.
He criticized bureaucratic delays in decision-making, warning, “If you don’t act fast things may take a different twist.”
Assistant Commissioner of Police Julius Caesar Tusingwire, Commander of the Police Minerals Protection Unit, reported that since January 2025, they have shut down 15 illegal gold refineries in areas including Muyenga and Buziga.
“We recovered a number of exhibits like fake gold, gas cylinders, money, genuine gold, among others,” he said. “That operation was successful, and we agreed that every quarter we should conduct such an operation.”
