Court stops Shs32b govt payout to businessman for controversial Mutungo land

The Land Division of the High Court in Kampala, has stopped the payment of Shs26b to city businessman Muhammed Buwule Kasasa from government as compensation for part of prime piece of land in Mutungo, whose ownership is being contested by the family of the late Sir Edward Muteesa II.

Dr Kasasa was due to receive Shs26b from government for acquisition of 12 acres where it installed some of its key security installations like the External Security Organizatio.

The temporary halt by presiding Judge John Eudes Keitirima on Tuesday, followed a successful application by three Buganda Kingdom royals led by Prince David Wasajja.

The other royals are Nalinya Sarah Kagere and Nalinya Dorothy Nasolo.

The royals had contended that there was an imminent threat as government was set to pay out the aforementioned compensation money to Dr Kasasa and yet his ownership of the land is still in dispute since there is a pending appeal before the Court of Appeal.

“In this application, the applicants (Prince Wasajja and other two royals), have shown that the 1st respondent (Dr Kasasa), is about to be paid Shs26b as compensation for the suit land of which they contest the 1st respondent’s ownership and that they would therefore, suffer substantial loss if the said money is paid before the intended appeal is heard and determined on its merits,” held Justice Keitirima on Tuesday.

He continued: “…..It would therefore, render the intended appeal nugatory in the event the applicants are successful as they may have lost on the compensation in respect of the suit land. The costs of this application, will abide the outcome of the intended appeal.”

The judge further ordered the members of the royal family to deposit Shs100m as security for the costs of the intended appeal which they should pay within a period of 30 days and not later than January 18, 2021.


In a related ruling delivered on the same day, Justice Keitirima allowed the Uganda National Roads Authority (Unra) to deposit Shs6b in court, which money will be given to rightful claimant of the land once the appeal is finally determined.

This was to enable Unra continue with its road construction works that had been halted due to legal disagreements of who the rightful owner of the land in question is and compensation had not been effected.

The parties were ordered to meet their own costs.

Background

The commencement of the construction of the Kampala-Jinja Expressway started in 2016 and is expected to ease transport on Jinja road and reduce the ever increasing traffic jam.