Rivals of Kampala businessman Hamis Kiggundu claim he was awarded the Nakivubo stadium deal after manipulating, and in some instances, arm-twisting the stadium’s board of trustees on which his brother-in-law is a member.
Court documents seen by The Observer show that initially, Kiggundu’s Ham Enterprises did not bid to redevelop the stadium. The stadium board had even awarded the redevelopment deal to Futureland Uganda Limited and Bestin Limited, which had responded to the bid.
But in a strange twist of events, the board changed its mind and awarded Ham Enterprises the deal. Kiggundu has become the centre of attention after his company evicted thousands of vendors from Park Yard market to ostensibly create parking space for the newly-redeveloped stadium.
The operation was reportedly okayed by Kampala minister Beti Kamya even without the authorization of the Kampala Capital City Authority (KCCA).
Kiggundu had previously been pictured showing designs to President Museveni, and he was recently forced to deny speculation that he was a front for powerful individuals.
His demolition acts contradict a court order and a resolution by the KCCA that stopped Ham Enterprises from redeveloping the stadium until the court matters are resolved. In a meeting last week, KCCA reiterated that it is yet to approve any plans for the stadium redevelopment.
DISREGARDING THE LAW
Court cases filed by Futureland and Bestin accuse Kiggundu of disregarding the law and using family ties to outfox his rivals. On January 18, 2017, Alex Mackay Ajiji, the deputy registrar, Civil division of the High court, issued an order stopping Ham Enterprises from engaging in any redevelopments of Nakivubo stadium land.
The order followed a suit lodged by Futureland and Bestin stating that the stadium was initially allocated to them for redevelopment, not Kiggundu.
Prior to 2009, Futureland and Bestin contend, the board of trustees in place at the time resolved and prepared an industrial master plan for the redevelopment of the stadium, which was approved by cabinet.
According to the companies, the cabinet approved the plan on condition that the developments were to be executed by way of public-private partnerships and that the proceeds would be applied by the trustees to acquire other stadia in Uganda.
However, court documents show that things took a twist when sports state minister Charles Bakkabulindi appointed a new board of trustees for the stadium. The new board revisited the said memorandum and structured the redevelopment project into three phases. The first phase, the companies say, was to cover the dilapidated area of the stadium and the second and third would cover the playground.
Futureland and Bestin say that through the purported restrictive bidding, Ham Enterprises was awarded the contract to redevelop the perimeter wall of the stadium and renovate the netball pitch, under the first phase.
“In 2013, a public-private partnership agreement strictly for redevelopment of the perimeter wall of the stadium was executed between the first defendant [Nakivubo stadium trustees] and second defendant [Ham Enterprises] with the approval of the Public Procurement and Disposal of Public Assets Authority [PPDA], KCCA and the solicitor general,” the plaint reads.
In March 2014, Futureland and Bestin claim, the board of trustees commenced arrangements for implementation of phase two and three of the redevelopment master plan.
Thus the board invited bids through the Uganda gazette, which attracted bids from five companies, including Futureland and Bestin but not Ham Enterprises.
The documents show that Futureland was to construct a modern sitting facility on the “Villa kirussia” side that covered part of plot 28 while Bestin was to develop the Park Yard that partly sits on plot 28 and the whole of plot 26.
“The other successful company M/S Ntelenfune Enterprises was to construct 10,000 sitter pavilions and upgrade the playing field to the latest Fifa standards and build a gym,” the court documents state.
The companies say their plans couldn’t be released for development until KCCA had approved them.
RESIGNATION
After the plans were lodged with KCCA for approval, court records show, Ham Enterprises filed a suit against Nakivubo board trustees contesting the board’s decisions to award contracts to both Futureland and Bestin.
In accordance with court practice, Ham Enterprises’ suit was referred to arbitration. However, at that stage, the two companies claim, Godfrey Mabiriizi, the Nakivubo stadium board of trustees’ chairperson, resigned after being pressured by a board member, Ahmed Bogere Masembe, who happens to be Kiggundu’s brother-in-law.
Masembe, who married Kiggundu’s sister, is a renowned radio sports presenter who manages Ssuubi FM. The station is owned by Kiggundu’s father.
“The plaintiffs [Futureland Uganda Limited and Bestin Limited] learnt of the intended wanton termination of their contracts and notified the first defendant [Nakivubo Trustees] that the second defendant [Ham Enterprises] had requested KCCA not to release the approved drawings on account of the alleged order and that it was unlawful for the first defendants to terminate their contracts without just cause,” the two companies say.
However, through Baraka legal advocates, Kiggundu denies that his brother-in-law, Masembe, forced Mabiriizi out of the board, arguing that Futureland and Bestin are resorting to “unsubstantiated claims and fiction.”
According to Kiggundu, Mabiriizi, who resigned on January 16, 2017, left on his “own accord.” In his resignation letter to Bakkabulindi, which has been attached to Kiggundu’s defense, Mabiriizi said he was resigning due to “personal reasons”.
But he went on to write: “I wish to caution the BOT [Board of Trustees] to desist from entertaining internal and external intimidation, selfish interests, intrigue that may compromise the smooth running of the stadium affairs.”
Nevertheless, the plaintiffs insist that the Nakivubo board of trustees, under the influence of Masembe, went ahead to terminate their contracts.
Kiggundu dismisses allegations that he coerced KCCA into not considering the plans of both Futureland and Bestin, saying he does “not have control over KCCA” nor have the clout to enable him stop it approving drawings.
After last week’s demolitions, the two companies, Futureland and Bestin, asked High court judge Patricia Waswa Basaza to commit Kiggundu to the civil prison, saying he blatantly disobeyed a court order when he demolished part of Nakivubo stadium in which they say they have a stake.
In the same suit, the two companies, through lawyer Isaac Walukagga, want the trustees of Nakivubo stadium to be committed to civil prison for disobeying a court order restraining them from engaging in activities affecting their rights as set out in the redevelopment agreements executed between the companies and the trustees.
dkiyonga@observer.ug
