MasterCard Foundation Terminates Shs 2 Billion Gulu University Project Over Graft Allegations.
By Okidi Patrick
OBONGI, Uganda – Gulu University has been stripped of a significant two-billion-shilling project by the MasterCard Foundation of Canada, following serious allegations of corruption linked to a previously failed “ghost project” in Obongi district. The “Refugee and Host Community Youth Empowerment and Transformation Initiative (RETI)” program will now be transferred to Muni University, based in Arua.
The drastic decision by the MasterCard Foundation comes after revelations surrounding a fish hatchery project under the Development Response to Displacement Impacts Project (DRDIP), which was earmarked for Teremo village in Palorinya sub-county, Obongi district.
According to district officials, Obongi District Local Government fully remitted funds to Gulu University for the implementation of this vital aquaculture project aimed at benefiting local communities. However, despite the payment, the fish hatchery project allegedly never materialized on the ground, leaving behind what has been described as a “ghost project.”
The RETI program, a substantial initiative funded by the MasterCard Foundation, was designed to empower youth in both refugee and host communities, a crucial intervention in regions like Obongi which host large refugee populations. Gulu University had been awarded the contract to implement this project, valued at over two billion shillings.

Sources indicate that the MasterCard Foundation, upon learning of the alleged corruption and the non-delivery of the DRDIP fish hatchery project by Gulu University in Obongi, took swift action to terminate its lucrative partnership for the RETI program.
A directive has since been issued for Gulu University to hand over the implementation responsibilities of the RETI program to Muni University. The transition is mandated to be completed by December 4, 2025, and will involve the presence of Obongi district officials to ensure transparency and accountability during the handover process.
This development casts a significant shadow over Gulu University’s project management and accountability mechanisms, underscoring the stringent oversight measures expected by international donors like the MasterCard Foundation. For the beneficiaries of the RETI program, the continuity of the project under new management offers hope that vital empowerment initiatives will proceed without further disruption, albeit under a different institution. The incident also highlights the critical need for rigorous oversight in the implementation of development projects, especially those funded by external partners committed to fostering sustainable development and accountability.
During the ceremony Dr Tenywa Aloysius Malagala and Simon Peter Waigumba of Gulu University handed over to the Program manager RETI Muni University,Fiona Josephine Arenji of Muni University and finance manager RETI program and Andama Alexander project manager RETI in Palm Corps.