Government-owned PostBank Uganda is at the center of a major counterfeit scandal after over Shs500 million in fake currency was discovered in its Mbale branch vaults.
The incident has sparked concerns about internal controls within the institution, which serves thousands of public servants nationwide.
The issue came to light when a customer was apprehended with counterfeit Shs50,000 notes. During interrogation, the individual revealed that the fake money had been withdrawn directly from the PostBank Mbale branch.
This disclosure prompted an internal audit, leading to the shocking discovery of more counterfeit notes in the bank’s vault.
In a statement, PostBank described the situation as an “anomaly” and assured the public that investigations were underway.
“We are aware of an anomaly that recently occurred at our Mbale branch and are working with the relevant authorities to complete the investigation and follow the necessary next steps,” the statement read.
The bank declined to provide further details, citing the ongoing investigations.
Sources indicate that several individuals, including PostBank officials, have been arrested in connection with the scandal.
The incident has intensified scrutiny on the bank’s internal systems and raised questions about how counterfeit currency infiltrated its operations.
Given that PostBank is a key institution for public servants who receive their salaries through its branches, the scandal has ignited public concern over the safety and reliability of the bank’s services.
The investigation remains ongoing, with authorities working to uncover the full extent of the fraud and implement measures to prevent similar occurrences in the future.
