
Elite Units of Police and Military Intelligence Squads have arrested two key suspects in the widely-publicised 12m Euro UPDF arms deal saga, Chimp Corps report.
Sam Simbwa, a known city conman and a one Capt Muhoozi were arrested on Friday in Kampala.
They are currently detained at the Special Investigations Unit in Kireka.
Kampala Metropolitan Police Spokesperson, Emilian Kayima confirmed the arrests when contacted by ChimpReports Investigation Team.
“Yes, it’s true we have them in custody,” said Kayima by telephone.
Asked to explain the charges levied against the duo, Kayima said they were related to “fraud in an alleged supply of government stores.”
This was the first time that authorities were speaking firmly about that scandal that has threatened the reputation of the UPDF and a position of a high ranking army officer.
Polish firm BPM Poland was conned from the boardroom of the UPDF General Headquarters in Bombo by army officers with the help of Simbwa.
The firm was informed that UPDF needed armour, tanks and surveillance vehicles. Yet, this matter had never been discussed by the UPDF High Command or any relevant organ.
A fake 12M Euros contract was later signed before the Polish contractors were told to release Shs 500,000 Euros to prepare for paper work.

Simbwa posing for pictures with Polish contractors after signing a bogus defence contract (Source: Courtesy Photo)
Upon receiving money, the Ugandan army officers and Simbwa switched off their phones and cut off communication with the Polish contractors.
The aggrieved party decided to report a case of fraud at the Police Special Investigations Unit under Mark Odong.
Simbwa was arrested but Chief of Staff Land Forces Brigadier General Leopold Kyanda reportedly ordered Odong to release him.
On learning about the development, President Museveni tasked Col Herbert Mbonye, the Deputy Chief of Military Intelligence, to investigate the matter.
Busted
Assisted in the investigation by Captain Joshua Karamagi, Mbonye recently handed his investigation report to President Museveni for action.
The report showed that the telephone numbers of Sam Simbwa and Brig Kyanda were confirmed to have been in constant contact and that the high ranking army officer indeed called Mark Odong on the date when Simbwa was released from Kireka.
“Mark Odong also confirmed to the investigation team led by Col Mbonye and Capt. Joshua Karamagi that he was instructed by Brig Kyanda that Simbwa should be released because he had to travel for special state operations abroad,” said a source.
“That’s how Simbwa was released and his passport given back to him.”
Kyanda has repeatedly denied taking part in the fake arms deal. He also denied knowing or dealing with Simbwa in any defence transaction.
Kayima said Simbwa was “arrested from Jinja Road” and that he was helping detectives in the investigation.
Security sources said the second suspect, Capt. Muhoozi, is an aide of Gen Salim Saleh, the brother of President Museveni.
Saleh is also a senior Security and Defence Advisor to the commander-in-chief.
It remains unclear if Saleh is aware about Capt. Muhoozi’s arrest but informed officials said, “The General would be outraged.”