Businessman arrested over encroaching on forest reserve

The businessman was handed to police detectives to make a statement over his involvement in the fraudulent transactions that led to the destruction of the forest reserve.

What you need to know:

  • Describing the move as a well-orchestrated scam to steal government property, Mr Suuza revealed that Mr Ntaganda is a principal signatory to all the companies that acquired land in a forest reserve. However, Mr Ntaganda said he was only helping the companies.
  • Asked about the March 4, 2016, sale agreement for various plots measuring 250 acres by Logic Real Estates and Developers, through Mr Ntaganda, sold to Mr Mubiru of J2E at a consideration of $2.5 million, the witness admitted his participation but insisted that he was a guarantor.

Kampala. City businessman Ephraim Ntaganda was yesterday arrested in regard to alleged destruction and fraudulent acquisition of land in Kajjansi Central Forest Reserve in Wakiso District.
The arrest came after Mr Ntaganda denied knowledge of land titles in the names of Logic Real Estate and Developers Limited, a company he owns, according to documents.
Justice Catherine Bamugemereire ordered his arrest following inconsistencies in his testimony over the destruction of the forest reserve.

“…I ask my orderlies because this is a commission of inquiry not court and we are investigating the truth. So you go and record another statement with my investigators,” Justice Bamugemereire said.
The businessman was handed to police detectives to make a statement over his involvement in the fraudulent transactions that led to the destruction of the forest reserve.
It is alleged that through various companies, Mr Ntaganda, 42, a real estate dealer, illegally acquired proprietorship of hectares of forest land which he sold to his counterpart, Mr Eria Mubiru of J2E Investments.

The companies where Mr Ntaganda is a director or principal signatory to their bank accounts include Choclas Financial Services, Logic Real Estates and Developers Limited, Lala Apartments Limited and Nsi Classic Limited.
Appearing before the commission, Mr Ntaganda admitted owning 37 acres under Choclas Financial Services, a company he owns jointly with his wife Monica.
Asked by the assistant lead counsel, Mr John Boaco Suuza, on how the company acquired land in a forest reserve, the businessman said he was not aware that the land is a forest reserve.

Testimony
“My brother Cedric (Nsongoza) in the course of buying bibanja from different individuals who claimed having licenses from the National Forest Authority, identified vacant land which was public and available. From the little knowledge, I knew it is under the district land board and can be applied for. I got information from Local Council I chairman which I believed to be true,” he said.
He explained that they were different small portions amounting to 37 acres and that he relied on information from the area people, including an LCI chairman.
“Nsongoza and a one Bob Kanabi, a director of Logic Real Estates and Developers Limited, had acquired interests from different NFA license holders. The land was being used for clay and sand mining as well as brick making,” he said.

“Nsongoza and Kanabi also my relative, are people I interact and share with a lot but I am not a director nor a shareholder in their company,” said Mr Ntaganda before admitting having been a signatory to a 2013 board resolution in regard to a land at Lugogo in Kampala, among other documents.
According to another document, Mr Ntaganda who denied proprietorship and shareholding in Logic Real Estate and Developers Limited, was given authority to execute a transaction, which he denied knowledge of.
In other documents, board resolutions of the same company in October 2010, resolved to open up different bank accounts where Mr Ntaganda was authorised as the principal signatory.

“I think it is a matter of trust. They do much bigger transactions and I do not remember signing any transaction in those banks or even accounts being opened,” Mr Ntaganda said.
He amused the commission when he admitted that Lala Apartments is owned and run by his wife.
Describing the move as a well-orchestrated scam to steal government property, Mr Suuza revealed that Mr Ntaganda is a principal signatory to all the companies that acquired land in a forest reserve. However, Mr Ntaganda said he was only helping the companies.

Asked about the March 4, 2016, sale agreement for various plots measuring 250 acres by Logic Real Estates and Developers, through Mr Ntaganda, sold to Mr Mubiru of J2E at a consideration of $2.5 million, the witness admitted his participation but insisted that he was a guarantor.
“I think this was a mistake on the side of counsel who drew the agreement because if you look at the other documents of Nsi Classic, I am again described as a purchaser,” said Mr Ntaganda, whose testimony the commission rejected.
Mr Ntaganda appeared after an arrest warrant issued against him.

RELATED CASE

Mr Ntaganda becomes the fourth person to be questioned in connection with the scam that led to titling of the forest reserve, without following the due process of the law. Others include the executive director of the National Forestry Authority, Mr Michael Mugisa and NFA board chairman Gershom Onyango, who are accused of okaying the acquisition of land titles.