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IN FULL: Muhangi Family Writes to Museveni over Bus Park Land Row

The family of deceased businessman Charles Muhangi has written to President Museveni, saying they are ready to relinquish the built up area of the contested land in Nakivubo area as long as they are compensated.

In a letter dated January 31, 2019 which ChimpReports has seen, Muhangi’s family told Museveni that Kampala Capital City Authority – KCCA “must be compelled to immediately issues a fresh lease of 49 years for The empty space plot 50 – 52 Nakivubo Road, Kampala in favour of the legal and lawful assignee and owner, Horizon Coaches Limited as this is the only way to bring this dispute to a resolution once and for all as directed by His Excellency.”

The family further said Horizon coaches would “hand over the built up area to Drake Lubega provided that KCCA compensates Horizon Coaches Ltd for the loss of business for the 13 years that Horizon Coaches Ltd. was denied in civil suit 426 in the year 2004.”

Below is the family’s letter to Museveni explaining the genesis of the row, manipulation of the judicial decisions and recommendations for resolving the longstanding dispute.

DIRECTIVE BY HIS EXCELLENCY THE PRESIDENT OF THE REPUBLIC OF UGANDA ON THE DISPUTES WITHIN THE BAGANDA BUS PARK LAND, PLOT 43 – 47 (NOW PLOT 48 – 52) NAKIVUBO ROAD – KAMPALA

Date: 31 – 01 – 2019

To:       His Excellency, the President of the Republic of Uganda

Thru:    The Private Secretary, Legal Affairs – State House.

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Attn: Ms Kiconco Florence

Your Excellency,

In a special way, on behalf of the Management of Horizon Coaches Limited, and in our individual capacities, we the undersigned, sincerely extend our appreciation and gratitude to Your Excellency for the assistance rendered to us during the trying moment when we lost our beloved Managing Director, the late Muhangi Charles. “May his soul rest in eternal Peace”.

We are also profoundly humbled and indeed honoured that, Your Excellency has accepted to continue with the intervention into the Baganda Bus Park Land disputes which intervention started way back in the 2010 and continued during the last days of our beloved Managing Director, the late Muhangi Charles.

Your Excellency, we wish to bring to your attention that, we, the undersigned, have not been directly involved in the affairs of Horizon Coaches Limited and more so the disputes of the Baganda Bus Park Land.

However, with the assistance of those who worked closely with the deceased, we have managed to look at, scrutinize, and collect documents/records relating to the disputes of the Baganda Bus Park Land.

We are therefore honoured to present to Your Excellency our understand of the Baganda Bus Park Land disputes basing on the facts and true records now in our possession and it’s our sincere hope that  this dispute shall be resolved as directed by Your Excellency.

Brief Background of the Genesis and trend of the Baganda Bus Park Land disputes based on the facts and records in our possession.

  1. Civil Suit No. 369 of 2005,Uganda Bus Owners Association Investments Ltd. (UBOAI LTD) vs. Charles Muhangi & Mountain Gear Group Ltd.
  2. a) The said suit was filed by the Directors of UBOAI Ltd, who alleged embezzlement and misappropriation of funds against the defendants (Charles Muhangi & Mountain Gear Group Ltd.). The sole intention of the case was to take over the land measuring 0.705ha which portion had been assigned and sold to Horizon Coaches Limited by UBOAI Ltd. and thereafter passed to Francis Drake Lubega who had promised some of the nominee directors of UBOAI Ltd a brokerage fee of Ug. Shs 3,500,000,000/= (Three Billion, Five Hundred Million Uganda Shillings) upon securing Francis Drake Lubega the said Horizon Coaches Limited land.
  3. b) In Misc. Application No. 476 of 2005 arising from Misc. Appl. No. 475 of 2005, arising from Civil Suit 369 of 2005, an Interim Order was issued by Court restraining the respondents (Charles Muhangi and Mountain Gear Group Ltd) from trespassing on land comprised in plots 43 and 47 Nakivubo Road, Kampala.
  4. c) The Interim Order issued against the respondents (Charles Muhangi & Mountain Gear Group Limited) in Misc. Appl. No. 475 of 2005 and Civil Suit No.369 of 2005, was set aside in Misc. Application No. 483 of 2005 arising from Civil Suit No. 369 of 2015, as it was issued in concealment of material facts from Court.
  5. d) Some of the directors of UBOAI Ltd, now brokers/agents of Francis Drake Lubega, lodged a complaint with the Inspectorate of Courts regarding the Orders of the Court in civil Suit No. 369/2005 and the application arising there from. The suit file and applications arising were forwarded to the Hon. Principal Judge for directions and or action. When the matter came up before the Hon. Principal Judge, the suit was adjourned to 20th February 2006.
  6. e) When the suit came up for hearing on 20th February 2006, the said Directors of UBOAI Ltd withdrew the Suit (No. 369/2005).
  7. Civil suit No. 616 of 2005, Kobil Uganda Limited vs. Uganda Bus Operators Association Investments Ltd – UBOAI Ltd.
  8. This suit was also filed by the directors of UBOAI Ltd also targeting Horizon Coaches Ltd portion of land the 0.705ha which portion had been assigned and sold to Horizon Coaches Limited by UBOAI Ltd.
  9. In this suit, a Consent Judgment was hurriedly entered, wherein the defendants (UBOAI Ltd) consented to pay Kobil Uganda Limited Ug. Shs. 900,000,000/= (Nine Hundred Million Shillings) in full and final settlement of her claim of Ug. Shs. 600,000,000/= (Six Hundred Million Shillings) Kobil Uganda Limited contributed towards the payment of premium plus of costs.
  10. Kobil Uganda Limited in the said consent relinquished her interest in KCCA land comprised in LRV 2808 Folio 21, Plot 43- 47 (now 48 – 52 Nakivubo Road, Kampala, Commonly known as Baganda Bus Park, and also removed the caveat it had lodged on the said KCCA title.
  11. This Consent Judgment resulted into the UBOAI Ltd Directors irregularly selling off Horizon Coaches Limited portion of land measuring 0.187ha to John Sebalamu and John Bosco Muwonge.
  12. The irregular sale of Horizon Coaches Limited said portion of land has since been settled between Horizon Coaches Limited and John Sebalamu, John Bosco Muwonge and Nabukeera Christine as tenants in common in LRV 4073 Folio 16 Plot 48 Nakivubo Road, Kampala which title was separated from the parent title LRV 3664 Folio 5 Plot 48 – 52 Nakivubo Road Kampala.

All the cases between Horizon Coaches Limited and John Sebalamu, John Bosco Muwonge and Nabukeera Christine as tenants in common LRV 4073 Folio 16 Plot  48 Nakivubo Road, Kampala have since been withdrawn.

  1. Civil Suit No.426 of 2004, City Council of Kampala vs. Kobil Uganda Limited.
  2. a) This suit was about a caveat lodged by Kobil Uganda Limited lodged on KCCA title LRV 2808 Folio 21, Plot 43 – 47 (now 48 – 52) Nakivubo Road, Kampala and claim of interest in the said land by Kobil Uganda Limited arising out ug. shs. 600,000,000/= (Six Hundred Million Shillings) contributed towards the payment of premium to KCCA.
  3. b) However the records show that, Francis Drake Lubega who was not a party to the suit (426 of 2004), on 16th February, 2006 applied for execution and a warrant of eviction was issued by court on 17th February; 2006 although the Decree did not provide for eviction and demolition.
  4. c) It’s also on the records that UBOAI Ltd was never made a party to Civil Suit No. 426 of 2004 although KCCA had intended to do so in Misc. Appl. No. 953 0f 2004 arising out of Suit No. 426 of 2004.
  5. d) On 20th February, 2006, while the parties in civil suit No.369 of 2005 were appearing before the Hon. Principal Judge, Francis Drake Lubega using the said warrant in civil suit No. 426 of 2004, where he (Francis Drake Lubega) was not a party, was busy evicting Horizon Coaches Limited from her land, and the UBOAI Ltd Directors, now Francis Drake Lubega’s brokers/agents, were abusing the Court process by withdrawing the suit No. 369 of 2005.
  6. e) Although the illegal eviction of Horizon Coaches Limited commanded by Francis Drake Lubega took place on 20th February 2006, the Court Bailiff had returned his warrant on 18th Feb 2006 alleging that he had handed over vacant possesses allegedly to the successful party in civil suit No. 426 of 2004.
  7. f) It’s on record that, Francis Drake Lubega was warned by KCCA of the illegal construction and trespass on Horizon Coaches Limited land on plot 43-47 (now 50 – 52) Nakivubo Road, Kampala.
  8. g) Horizon Coaches Limited is on record seeking clarification on the status of the suit Civil Suit No. 426 of 2004 and it was confirmed without doubt that UBOAI Ltd was not a party to the suit (426 of 2004).
  9. h) Following the Ag. Assistant Registrar’s Letter dated 22nd November, 2006, stating that UBOAI Ltd is not a Party to Civil Suit 426 of 2006, Kampala City council and Kobil Uganda Limited, on undisclosed date, entered into Consent Order to join UBOAI Ltd as a party to the suit (426 of 2004). The consent order was also entered by Court on 31st January, 2007 one year after an irregular Consent Judgment was executed on 1st February, 2006 and entered by court on 13th February; 2006.
  10. Conversion of title LRV 2808 Folio 21, plot 43-47 Nakivubo Road, Kampala.
  11. a) In what we interpret as connivance among KCCA, UBOAI Ltd Directors, the Department Land Registration of the Ministry of lands, Housing and Urban Development and Francis Drake Lubega, in a calculated move to assists Francis Drake Lubega secure title on Horizon Coaches Limited land/plot, KCCA converted her title LRV 2808 Folio 21; Plot 43-47, Nakivubo Road, Kampala to free hold status. Subsequently Title FRV 446 Folio 19, Plot 48-52 Nakivubo Road –Kampala was issued to KCCA. The UBOAI Ltd sublease which by law automatically converted to a lease status, title LRV 3664 Folio 5, Plot 48-52 Nakivubo Road –Kampala was irregularly/wrongfully issued using a triplicate copy of sublease Agreement provided by KCCA.
  12. b) The issuance of title LRV 3664 folio 5, plot 48 – 52 Nakivubo Road, Kampala and the subsequent transfer, to John Sebalamu, John Bosco Muwonge, Christine Nabukeera, Francis Drake Lubega, and Manisulu Matovu was challenged by Horizon Coaches Limited.
  13. c) When Notice to effect changes in the Register Book, on Plot 48 – 52 Nakivubo Road, Kampala, Leasehold Register Volume 3664 Folio 5 was issued, to Francis Drake Lubega sought Court redress to stop the cancellation.
  14. d) He filed Misc. Application No. 41 of 2006 (arising from Misc. No. 40 of 2007 out of HCCS No. 1 of 2007 against the Commissioner Lands Registration and he (Francis Drake Lubega) secured an Interim Order but his application vide letter dated 15th March, 2007 for the Interim Order  to be renewed was rejected by Court on grounds that, the Interim Order was issued in error.
  15. e) After failing to secure an extension of the Interim Order in the said Suit above, Francis Drake Lubega filed yet another Case, Originating Summon No. 007 of 2007 against the Commissioner, Land Registration, but also the said suit has since been dismissed.
  16. f) With the full knowledge that Francis Drake Lubega had no pending suit against the Commissioner Lands Registration, Horizon Coaches Ltd wrote to the Commissioner, Land Registration to cancel the irregular title of LRV 3664 Folio 5, Plot 48 – 52 Nakivubo Road – Kampala.
  17. Francis Drake Lubega is also on record as having filed Civil Suit No. 295 of 2007 wherein he alleged that Horizon Coaches Ltd had no interest in the disputed land. He later personally withdrew the Suit.
  18. Intervention by the Hon. Principal Judge in the multiplicity of suit arising out the Consent Judgment in civil suit No. 426 of 2004.

(a)        Horizon Coaches Limited faced with the refusal of the Commissioner, Land Registration to cancel the wrongfully issued title LRV 3664 Folio 5, Plot 48 – 52 Nakivubo Road – Kampala, and coupled with the multiplicity of cases arising from the irregular Consent Judgment in civil suit No. 426 of 2004, Horizon Coaches Limited petitioned the Hon. Principal Judge for intervention in the disputes of the Baganda Bus Park Land.

Principal Judge

(b)        The intervention of the Hon. Principal Judge prompted an investigation of the Baganda Bus Park Land and with the consent of the parties and other stakeholders; the Hon. Principal Judge sanctioned Mr. George Egaddu, a Certified Public Accountant to under the task of investigation and the findings and recommendations be used to strike an amicable resolution of the disputes.

(c)        The investigation sanctioned by the Hon. Principal Judge failed due to the none-payment of the investigator’s professional fees by the parties and stakeholders who were obliged to pay the investigator’s professional fees thus compounding the frustrations of Horizon Coaches Limited.

  1. The intervention by His Excellency in the Baganda Bus Land Dispute.

(a)        So, on 9th May, 2010, through our then Managing Director, Muhangi Charles – the Deceased, Horizon Coaches Limited petitioned your Excellency regarding the refusal by the Commissioner Lands Registration to cancel a Land Title LRV 3665 Folio 5, Plot 48-52 Nakivubo Road Kampala issued wrongfully by a Junior Officer of the Lands Registration Department.

On 10th August 2010, your Excellency directed Hon. Omara Atubo, the then Minister of Lands, Housing and Urban Development to investigate the Baganda Bus Park Land disputes with an aim in mind of rectifying any irregularities involved and thereafter effect allocation of the Land to its rightful owner.

(b)        The Honourable Minister of Lands, Housing and Urban Development at the time, as directed by His Excellency, appointed a Committee of Inquiry under the Chairmanship of Mr.Yusuf Kagumire, a Senior Advocate, to investigate into the Baganda Bus Park land disputes.

(c)        In January, 2011, a Report of the Committee of Inquiry into the Baganda Bus Park Land Disputes was released by the Minister of Lands, Housing and Urban Development and made public to the parties and stakeholders.

Recommendations

(d)       We have noted with appreciation that, in the Report of the Committee of Inquiry, on page 51- 52, the following recommendations were made:-

  1. Horizon Coaches Limited should never have been divested of its interest in the land.
  2. UBOAI Ltd is still a subsisting company; it has never been wound up in order to sell its assets or dispose of its capital.
  3. People who own these portions of land should regard themselves as shareholders who should convene a meeting of the company and regularize the company by recognizing Horizon Coaches Limited as one of its major shareholders.
  4. There should be a fair distribution of shares in accordance with the money which one has contributed to the company.
  5. The Titles which have been transferred to various individuals should be considered as cancelled as they were transferred without due process of the law.
  6. The covenants and conditions of the sublease/lease between UBOAI Ltd and KCCA whereby consent was granted authorizing UBOAI Ltd to sublease for a lesser period, is still good and effective under obligation to grant the full term lease to UBOAI Ltd can in turn grant the subleases as agreed to the existing developers and Horizon Coaches Ltd as to portions of the land known as Baganda Bus Park for terms of Years to be mutually agreed upon between UBOAI Ltd and themselves.
  7. Mediation should be adopted in order to bring this protracted and costly dispute to a quick amicable and peaceful conclusive resolution.
  8. The Hon. Minister should inform all the parties of the decision taken based on the findings and recommendations of the Committee.
  9. While Horizon Coaches Limited and other stake holders embraced the recommendations including No. 7 of mediation by the Committee of Inquiry Report, there was discontent and fear that the Ministry of Lands Housing and Urban Development was pushing for mediation before rectifying the irregularities as directed by His Excellency.
  10. The failure by the Ministry of Lands, Housing and Urban Development to clean its house, prompted yet another petition to His Excellency by other stake holders. The Directorate of Land Matters in State House was directed by His Excellency to find out why the Petitioners felt insecure.

 

  1. The fears of the other stake holders were thorough investigated by the Directorate of Land Matters in State House and in light of its findings; all the parties and stake holders reached a settlement and eventually amicably and peacefully resolved their disputes with Horizon Coaches Limited save for Francis Drake Lubega and Kampala Capital City Authority.
  2. Constitutional Petition 37 of 2011.
  3. On the other hand, when the Report of the Committee of Inquiry was released, he, Francis Drake Lubega, in his usual habit of manipulating the Court process, again challenged His Excellency’s Directive in Constitutional Petition 37 of 2011.
  4. It’s on record that, Constitutional Petition 37 of 2011 petition has also since been dismissed.
  5. Misc. Appl. No 871 of 2012 arising out of civil suit No. 426 of 2004.
  6. Records also show that, UBOAI Ltd filed Misc. Appl. No 871 of 2012 arising out of civil suit No. 426 of 2004 against KCCA and Kobil Uganda Limited seeking to set aside the Consent Judgment in suit 426 of 2004.
  7. In his ruling, the Hon. Alfonse Chigamoy Owiny-Dollo – Judge, as he was then, on pages 17-18 found as a fact that the execution by Francis Drake Lubega was unlawful, as it emanated from a warrant that was wrongfully issued contrary to the Decree of the court; and the execution accordingly was set aside.
  8. Uganda Bus Operations Association Investments Limited finally accepted the fact that, the portion of land on plots 48 – 52 (formally 43 – 47) Nakivubo Road, Kampala, and measuring 0.705ha is owned by Horizon Coaches Limited.
  9. Consequently, in an Extra Ordinary General meeting of the Board of Directors/Shareholders held at Hotel Africana, on 1ST December, 2011, it was unanimously resolved to uphold the Company resolution of 2nd February, 2005 wherein a portion of land on plots 43 – 47 (now 48 – 52) Nakivubo Road, Kampala, and measuring 0.705ha was assigned for sale and transfer to Horizon Coaches Limited and thereafter, a Memorandum of Settlement was executed.
  10. Misc. Appl. No. 75 of 201, Francis Drake Lubega vs. the Attorney General and 4 Others.
  11. In this application Francis Drake Lubega challenged the Hon. Minister of Lands, Housing and Urban Development decision directing the 3rd Respondent to cancel the Applicant’s title LRV 3958 Folio 10, Plot 50 – 52 Nakivubo Road, Kampala, claiming that the Hon. Minister did not accord the Applicant an opportunity to be heard before giving the directive.
  12. In his ruling, the Hon. Mr. Justice Rubby Aweri Opio ruled that as a line Minister, the Hon. Minister has power to give direction on any matter, and his directive was well conceived to sort out the running dispute of the suit property, but the Applicant should have given a forum by the Hon. Minister before his direction on cancellation of the title.
  13. Following the said ruling, the Hon. Minister invited the parties for a way forward, and mediation was preferred by the parties including Francis Drake Lubega
  14. So, when Francis Drake Lubega shunned the mediation under taken by the Directorate of Land Matters in State House, mediation was arranged by the Ministry of Lands Housing and Urban Development, whereof, the Hon. Anne Magezi (Retired), the preferred choice of Francis Drake Lubega, was appointed as the Mediator.
  15. However, this mediation also failed.

Your Excellency, as observed in your letter Ref: PO/19.2 dated 20th July, 2011, there cannot be meaningful mediation between rival parties without rectifying the already identified irregularities.

Rulings/Judgments and admitted facts about the about the Baganda Bus Park Land Disputes:-

  1. KCCA admits that the Consent Judgment in Civil suit No. 426 of 2004 which is the root cause of the dispute was not normal having included non-parties in a suit between Kobil Uganda Ltd and KCC (A) which was over a caveat.

Both Horizon Coaches Limited and Francis Drake Lubega were not parties to the Civil Suit No. 426 of 2004 between Kobil Uganda Ltd and KCC(A) and therefore could not be effected and or benefit from the Consent Judgment in any way.

  1. In Misc. Appl. No. 871 of 2017 arising from Civil Suit No. 426 of 2004, the execution by Francis Drake Lubega was set aside because it was unlawful as it emanated from a warrant that was wrongfully issued contrary to the decree of Court.
  2. The title LRV 3664 Folio 5, Plot 48 – 52 Nakivubo Road, Kampala, was obtained in error/wrongfully (See appendix NII), and the transfer of the said title to Francis Drake Lubega was based on a consent Judgment which was unusual having included strangers to the suit.
  3. The Interim Order in Misc. Appl. No. 41 of 2006 was never renewed by Court as it was issued in error (See appendix NIII and NIV ) and Originating Summons No. 007 of 2007 against the Commissioner Land Registration by Francis Drake Lubega stand dismissed (See appendix NV) and there is no appeal pending
  4. Have no pending cases against Horizon Coaches Limited,

Basing on the above out lined rulings/Judgments, it is our submission to His Excellency that:-

  1. The action taken by the office of the Attorney General of putting back Horizon Coaches Limited in possession of Plot 50- 52 Nakivubo Road, Kampala, is justified and one step in the right direction as contained in His Excellency’s directive vide letter Ref: PO/19.2 of 10th October 2010.
  2. Kampala Capital City Authority – KCCA must be compelled to immediately issues a fresh lease of 49 years for The empty space plot 50 – 52 Nakivubo Road, Kampala in favour of the legal and lawful assignee and owner, Horizon Coaches Limited as this is the only way to bring this dispute to a resolution once and for all as directed by His Excellency. Additionally Horizon coaches would hand over the built up area to Drake Lubega provided that KCCA compensates Horizon Coaches Ltd for the loss of business for the 13 years that Horizon Coaches Ltd. was denied in civil suit 426 in the year 2004.

So is our prayer to Your Excellency.

Most obliged,

ALEX KATUNGYE             PATIENCE MBABAZI MUHANGI

Head of Family                                               (Widow)

of the Deceased

LIONEL MUHANGI

Minority Shareholder/ Director

Horizon Coaches Ltd/ Elder Son

 

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