PACEID chief Bagonza granted bail after weeks in Luzira

KAMPALA: Matthew Bagonza, the head of the Secretariat of the Presidential Advisory Committee on Exports and Industrial Development (PACEID), has been granted Shs 20 million cash bail after facing charges of money laundering and abuse of office.
The Anti-Corruption Court imposed strict conditions, requiring Bagonza to surrender his passport, deposit two land titles as security and obtain court permission before travelling abroad. Each surety must execute a non-cash bond of Shs 30 million.
His release follows weeks of controversy surrounding his arrest in Entebbe on August 25, 2026, and his subsequent detention.
The incident drew national attention after Chief of Defence Forces Gen. Muhoozi Kainerugaba posted a shirtless photograph of Bagonza on X, captioned “Learning Kiswahili,” following threats to arrest officials of PACEID over alleged corruption.
Reports also linked the photograph to Bagonza’s reported detention in a basement, raising questions about the circumstances in which he was held.
PACEID chairman Odrek Rwabwogo challenged the circumstances of the arrest and said President Yoweri Museveni had told him he neither knew about nor authorised the operation.
The arrest unfolded amid a public dispute between Muhoozi and Rwabwogo over PACEID, which was established to support Uganda’s export development and access to international markets.
Bagonza now faces allegations that include the transfer of about Shs 171.7 million from an account associated with the initiative to a personal account. Prosecutors also allege abuse of office in connection with the registration of a private company with objectives similar to those of PACEID.
The charges have not been proven in court.