UBC officials charged over sh11.5b land

Dec 14, 2011

TWO officials of UBC have been charged with abuse of office in connection with the sale of the corporation’s prime land worth sh11.5b to Haba Group

By Edward Anyoli   

TWO officials of Uganda Broadcasting Corporation (UBC) have been charged with abuse of office in connection with the sale of the corporation’s prime land worth sh11.5b to Haba Group. Haba Group is owned by city tycoon Hassan Basajjabalaba.

Chris Katuramu, the chairman Board of Directors and Corporation Secretary, Emmanuel Emoru appeared before the Anti- Corruption Magistrate, Emmnuel Baguma. They denied the charge.

Court also summoned another UBC employee, Edward Musiguzi Mugasa who was not in court to appear before it on December 20, 2011 to answer the charge.

Abuse of power

Prosecution led by Robert Mackay said between January, 2011 and April 2011, the accused two employees of UBC abused their offices when they allegedly sold  23.1 acres of land belonging to the Corporation to Haba Group Uganda Limited.

The land is located on Plots 8-10, 12-16, and 18-20 Faraday road, Bugolobi, a city suburb. Katuramu was represented by lawyer, MacDusman Kabega and Emoru was represented by Richard Rugambwa.

The prosecutor, Mackay told the court that investigations are still on going and asked for more time to enable police complete investigations.

On December 17, 2010, UBC managing director Musinguzi- Mugasa, wrote to HABA Group stating that the Corporation had no objection to Haba Group paying for the land by Real time gross settlement systems (RTGS) within the days stipulated in the letter dated December 14, 2010. 

They also agreed that upon receipt of the final payment, UBC would sign a transfer instrument, handover the title certificate to Haba Group which would take possession and ownership of the Bugolobi land. 

RTGS is a funds transfer system where the transfer of money or securities takes place from one bank to another on a "real time" and on "gross" basis.

On January 7, 2011, UBC issued a Board resolution after a meeting accepting the offer by Haba Group Ltd to purchase eighteen acres of UBC land at sh11.5b

The Board resolution was signed by Board chairman Chris Katuramu, Managing Director E. Musinguzi- Mugasa, and Emoru Emmanuel, the Corporation Secretary.

Agreements

UBC and Haba Group (U) Ltd entered into an agreement for sale of land on January 14, 2011 for sh11,5b in respect of  land comprised in Freehold Register Volume 211 Folio 18, Plots 8 -10; 12 -16 and 18 -20 Faraday Road, Kampala.

The agreement was signed on behalf of UBC by E. Musinguzi - Mugasa and authenticated by an unnamed director and witnessed by the Corporation Secretary. The document was not sealed.

There is another Agreement for sale of land comprised in Freehold Register Volume 211 Folio 18, Plots 8 -10; 12 -16 and 18 -20 Faraday Road, Kampala between Haba Group (U) Ltd and UBC dated February 14, 2011which was witnessed by Obed Mwebesa,  an Advocate.

On February 8, 2011, Niwagaba & Mwebesa Advocates requested for a search on FRV 211 Folio 18 which permission was granted upon payment of the requisite fees.

A statement of search as at February 8, 2011 was issued by Kabira Aisha, for Ag. Commissioner for Land Registration clearly stating that the land (23.1 acres) belonged to UBC.

On February 10, 2011 an application for consent to transfer or sublease public lands in respect to the land was filed in the valuation division of the Department of Land administration stating the area as 23.1 acres, for residential use, mailo, no developments on the land and the consideration was sh6b.

The application was again signed by Obed Mwebesa.

The land was valued for purposes of Stamps Act at sh11.5b and on March 30, 2011 stamp duty worth sh115, 005,000 was paid in respect to this transfer.

On April 6, 2011, Musinguzi- Mugasa, Managing Director of UBC wrote a letter requesting for the caveat to be vacated.

On April 7, UBC paid stamp duty of sh5, 000 on the removal of the caveat and the caveat was vacated on April 21.

On April 8, Haba Group (U) Ltd paid land transfer fees.

 

 

 

 Approval and transfer instrument

On the same day the Minister of Information and National Guidance wrote to the Chairman, UBC approving the request to dispose of the 18 acres of UBC land on Faraday Road..

On April 21, a transfer instrument dated February 10, 2011 transferring the 23.1 acres from UBC to Haba Group (U) Ltd was lodged. The instrument of transfer did not state any consideration.

The instrument was signed for UBC by an unnamed person and witnessed by two unnamed persons with a seal of the UBC thereon. The witness for UBC was Obed Mwebesa, advocate and Commissioner for Oaths.

Aisha B. Murungi and B. Muzamiru signed for the purchaser. The transfer to Haba Group (U) Ltd was registered on April 21 at 11.25am under instrument number 447499.

On May 16, 2011 Haba Group (U) Ltd and Deo & Sons Properties Limited entered into an agreement for sale of same land at sh22b.

On May 23, 2011 an application for consent to transfer or sublease publications in respect of the 23.1 acres was filed in the valuation division of the Department of Land administration stating the consideration was sh12b only with no developments on the land. The land has UBC masts and buildings.

The land was valued for purposes of Stamps Act at sh12b and on May 30, stamp duty worth sh120m was paid in respect to this transfer.

On May 31, 2011 a transfer instrument dated May 30, 2011 in respect of the land measuring 23.1 acres was transferred from Haba Group (U) Ltd to Deo & Sons Properties Limited.

The instrument of transfer did not state any consideration.

The instrument is signed for the sellers Aisha B. Murungi and B. Muzamiru who are HABA Directors and witnessed by Augustine Semakula, an advocate.

For the new buyers two persons signed and the seal of the company is attached but the names of the signatories are not given.

The transfer to Deo & Sons Properties Ltd was done on May 31, 2011 at 11.45am under instrument number 449204. The sale has been contested by the new management of UBC.

 

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