Motorsport Wins as IG Unfreezes FMU Accounts
By Mwambazi Lawrence
After almost a year of financial turmoil that made it harder for Uganda’s motorsport federation to operate smoothly, the Inspectorate of Government (IG) has officially lifted the freeze on the bank accounts of the Federation of Motorsport Clubs of Uganda (FMU). This marks a crucial turning point, allowing the sport to regain its momentum, ensuring the smooth organization of upcoming events, including the SMC Challenge Rally and the 2025 Pearl of Africa Uganda Rally scheduled for May.
At the start of 2024, the IG received a petition from certain FMU members alleging financial and administrative mismanagement by an executive committee they claimed was operating without a proper mandate. Following preliminary investigations, the IG froze FMU’s bank accounts, creating a roadblock that made it challenging for the federation to run its activities effectively.
While motorsport didn’t come to a screeching halt, the freeze created significant roadblocks. The federation found it difficult to pay international subscriptions, meet financial obligations, and access donations from private investors all of which are crucial for the sport’s sustainability. Uganda’s motorsport community was stuck in a financial pitstop, even as drivers and fans revved their engines, waiting for the green light.
The IG’s decision to unfreeze the accounts was driven by several key considerations. Uganda’s rising status in global motorsport, where local drivers have gained international recognition, was at risk due to the financial paralysis. The freeze had serious consequences, including the potential exclusion of Uganda from regional and global events. Private sponsors, who contribute significantly to the sport without expecting financial returns, were also impacted by the freeze. Their investments were stuck, leading to frustration and demotivation as they watched from the sidelines. And with major events like the Pearl of Africa Uganda Rally 2025 approaching, there was an urgent need to ensure everything was in place.
The IG’s intervention acknowledged the three key groups affected by the freeze: Uganda’s image in international motorsport, which faced challenges due to financial constraints; the local motorsport community, which struggled to maintain operations and prepare for competitions; and private sponsors and participants, whose contributions were tied up in the frozen accounts.
To restore normalcy, the IG and FMU reached several agreements, including unfreezing FMU’s bank accounts, allowing funds to flow freely again and operations to resume; lifting restrictions on funding, including allowing the National Council of Sports (NCS) to disburse funds to FMU; and permitting FMU to continue running its activities while the investigations into alleged financial impropriety continue. Both parties also agreed to withdraw the petition, and the IG vacated all court orders related to the NCS and FMU’s accounts.
The IG clarified that its actions were based on its investigative duties, not the demands of petitioners. The decision to unfreeze FMU’s accounts is a significant win for motorsport in Uganda, ensuring the sport can continue to grow while maintaining financial accountability.
With the uncertainty now behind them, the fraternity can look forward to a thrilling, organized, and competitive season ahead, as Uganda readies itself to race back onto the international stage.
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