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government fails to bail out sembule steal mills

One of the oldest Ugandan owned company Sembule steel mills factory in Nalukolongo has been finally sold.
Sembule is said to have borrowed 7 billion shillings for capital development from Bank of Baroda and failed to raise the money to pay back the loan which was acquired 15 years ago.

Lubaga south mp John Ken Lukyamuzi who raised the matter in parliament this afternoon asked Government why it failed to save this company yet it has been bailing out people like Bassajja balaba.
Lukyamuzi has in the past pleaded with the government to intervene in the matter of auctioning Sembule steel mills factory because it has been employing a number of Ugandans.
In response the Prime Minister Amama Mbabazi said that he had discussed the matter with the president and Government tried to intervene by injecting in some money but when the bank demanded more they had no capacity to raise it.
Sembule steal mills which is on auction for 7 billion shillings is valued at 27 billion shillings and they appealed to parliament for help but in vain.

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