dfcu Bank has strongly dismissed reports of internal turmoil, staff unrest, and financial strain, branding them as “baseless and misleading.” 

In a statement issued on Friday, the bank urged the public to treat the circulating stories with contempt and instead rely on verified communication from the institution.

The clarification follows a widely circulated online article alleging that dfcu Bank is grappling with staff dissatisfaction, shareholder unease, and the financial aftermath of legacy legal battles linked to the controversial Crane Bank takeover. 

The report also claimed that a senior executive, Chief Business Solutions and Marketing Officer Ms. Marrann Wanjiku, left Uganda after an alleged assault by a junior staff member.

In its official press release, dfcu Bank emphasized that its operations remain stable and robust.

“dfcu Bank has noted the circulation of unfounded stories intended to mislead and cause unnecessary concern. We assure our customers, stakeholders, and the public that these claims are without basis and should be treated with the contempt they deserve. Our focus remains on delivering secure, reliable, and innovative financial services to support individuals, businesses, and communities across Uganda,” the statement read.

Management further reassured customers that the bank continues to post strong financial results, with net profits rising by 151% in 2024, reaching Shs 72 billion, and total assets standing at Shs 4 trillion. 

The bank also contributed Shs 100 billion in taxes to the national treasury, underlining its role as a significant player in Uganda’s financial sector.

The online article painted a grim picture of internal discontent.

 It claimed that staff in regional branches felt neglected, citing insufficient funding, unrealistic performance targets, and threats of job losses.

It further alleged that the CEO, Mr. Charles Mudiwa, had been forced to intervene by issuing memos warning employees against resorting to violence when aggrieved.

The piece also highlighted complaints over management’s alleged “lavish spending,” pointing to Shs 1 billion spent on the “Jazz in Pearl” concert marking dfcu’s 60th anniversary, and another Shs 1 billion pledged to Rotary.

According to the report, these expenditures have stirred discontent among staff, particularly those working outside Kampala who feel their branches are underfunded.

Insiders quoted in the article went as far as questioning the bank’s financial disclosures, accusing management of orchestrating a “cosmetic campaign” to portray stability while concealing internal struggles.

The report also suggested that dfcu’s majority shareholder, Arise BV of the Netherlands, which holds a 58% stake, was considering an exit from the Ugandan market.

This, it claimed, had worsened fears about the bank’s long-term outlook.

The speculation was tied to dfcu’s lingering legal battles stemming from the acquisition of Crane Bank in 2017. 

Cases in both Kampala and London have resulted in financial losses for the institution, with claims that these liabilities continue to weigh heavily on operations.

However, dfcu Bank has moved swiftly to counter the allegations, insisting that its shareholders remain committed and that its strategic direction is unchanged. 

The bank reaffirmed its dedication to staff welfare, branch network expansion, and customer-centered innovations.

Management pointed to recent investments in digital banking platforms, SME financing, and agricultural lending as proof of its continued commitment to national development.

A senior official at the bank, who preferred anonymity because they were not authorized to speak publicly, said:

“dfcu remains a strong, well-capitalized institution. Our focus is on sustainable growth, and our shareholders are aligned with that vision. These stories being circulated are simply attempts to undermine confidence in the bank, but our performance numbers speak for themselves.”

Analysts note that while staff welfare concerns are common across the banking industry, dfcu’s public dismissal of the allegations is an effort to protect customer confidence and maintain its market reputation.

Financial sector observers argue that the timing of the online article, coming at a point when dfcu is marking nearly a decade since acquiring Crane Bank’s assets, was calculated to reignite controversy over a matter that has already been partly resolved in courts.

“Uganda’s banking sector is highly sensitive to issues of trust,” said an independent economist.

"Any perception of instability can trigger public panic. dfcu’s swift and categorical response was therefore necessary to reassure depositors and investors alike.”

Management insists that the bank’s digital-first strategy, combined with continued investment in small business financing and community initiatives, positions it strongly for the future.

The bank has called upon the public to disregard misinformation from unverified sources, emphasizing that only official communications represent its true position.