HomePARLIAMENTParliament adopts COSASE Report on URC.

Parliament adopts COSASE Report on URC.

Joshua Nahamya,

13 April 2022.

Hon Robert Mwesigwa Rukaari has got all the legal documents and receipts to claim the three plots of land he bought from Uganda Railway Corporation in Nyambya.

Part of his land includes; plot no 976 Kibuga, block 29 Mulago (mailo land), plot 74 Chorley Crescent (0.12) and plot 78 Chorley Crescent (0.12).

It started on November 2021, when the Mbarara North Division MP appeared before the committee of Commissions Statutory Authorities and State Enterprise to provide evidence of the purchase of Nsambya railway land.

However, Hon Rukaari failed to provide evidence on the above-shown land that was part of the 57 acres in Nsambya and Kibuli which originally belonged to Uganda Railways Corporation (URC).

In his defense, the honorable told COCASE that he was not briefed about the documents he was supposed to present to the committee.

And by today morning, the honorable MP was able to present all the documents which included; the transfer agreement, bidding adverts, and bank statements.

According to the documents presented, Ruukari paid a total of over 360M to purchase the said land in question.

However, in a COCASE report released today, findings indicate that the criteria that were used to classify the assets as core or non-core were not clear.

“Some properties were classified as core while others within the same locality were classified as non-core. For example Plot 122 block 264 Kyadondo Mutundwe and Plot 27-33 Kyadondo Mutundwe”. Reads part of the report 

The Committee also noted that only 10 out of 15 properties were advertised reporting that there is no evidence to show that those which were not advertised were sold through the right procedures.

“There was no evidence of payment for these properties. And there was no evidence of a valuer’s report determining the reserve price” reads part of the report

Therefore the committee recommended that the Inspectorate of Government should investigate the matter and prosecute those found culpable.

However, the committee also recommended that government should swiftly move in to start negotiations with people who lawfully acquired an interest in the Railway Land with the objective of having them compensated within the meaning of Article 26 of the 1995 Constitution.

On April 8, 2006, the Government of Uganda and the Rift Valley Rail (U)

Limited of South Africa signed a Concession Agreement providing for the leasing Of the Corporation’s core assets to the investor.

The core function of the concessionaire was to run and operate the railways for 25 years and give annual payments to the Corporation or its successor amounting to the equivalent of its gross revenue. The employees of the Corporation were paid their terminal benefits by Uganda during the year. The conceded assets were handed over to rift valley railway (U) Limited on November 1, 2006. However, the 25-year concession with RVR was canceled in 2018 and new management took over URC.

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