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Dubious Land Deals, Double Standards Haunt Mbale District Headquarters Project

Construction of the Shs9 billion Mbale District Headquarters has stalled amid explosive revelations of past land giveaways, contested leases, and deep-rooted governance failures, raising public outcry and demands for…

By 4 min read
The future of the Mbale District Headquarters project hangs in the balance as a maze of land ownership disputes, questionable leases, and political missteps threaten to derail the Shs9 billion venture meant to rehouse the district’s administration outside the newly formed Mbale City.

Though the government has already disbursed Shs 1 billion and approved plans for the project in Busoba Sub-county, construction remains on hold due to the startling discovery that the designated land is already encumbered by private leases—some dating back more than a decade.

The land, earmarked in 2020 when Mbale Municipality was elevated to city status, had been previously allocated to Yogi Agro Industries Ltd and Mbale Epicentre Community Sacco under the tenure of then-district chairperson Bernard Mujasi.

A significant portion is also occupied by Mbale Central Police Station, which claims historical ownership dating to the 1950s.

Current district chairperson Muhammad Mafabi admitted the project is effectively paralyzed and that negotiations with police authorities over space-sharing have yet to yield a breakthrough.

“Yogi and Epicentre both hold 49-year leases. We've held a series of meetings and submitted formal requests for a review,” Mafabi said, confirming that Shs1 billion of the pledged Shs3 billion from central government is already secured in the district's coffers under a bank guarantee.

What has shocked many is the revelation that the same district council that approved the relocation of the headquarters in 2020 had earlier endorsed the disputed land allocations—in 2011 and 2019 respectively.

This raises troubling questions about whether due diligence was ever conducted and why the site was selected despite known encumbrances.

A Political Powder Keg



Mafabi, who inherited the quagmire from his predecessor, recounted how the 2020 council session that passed the relocation resolution devolved into physical altercations, underscoring the intensity of the vested interests at play.

“In my wisdom and guided by council rules of procedure, I advised Chairman Mujasi to consult the technical team. A week later, he returned with four proposed sites. Busoba was selected as the most viable—yet it was already encumbered,” Mafabi revealed.

Analysts and residents now accuse past leaders of prioritizing political convenience over technical integrity.

The Mbale District Council's inability to reconcile its own resolutions—allocating public land to private entities and later earmarking the same land for public infrastructure—has drawn fierce criticism and triggered calls for investigations.

The district’s chief administrative officer (CAO), who by law serves as technical advisor and custodian of public property under Section 34 of the Public Finance Management Act and the Local Government Act, is also under scrutiny.

Observers question whether the CAO at the time failed to flag the contradictions or deliberately overlooked them.

Legacy Deals Under the Microscope

The most controversial allocation dates back to 2011, when 13 acres were handed to Yogi Agro Industries Ltd—barely a year after the company's registration in 2010—to establish a starch processing factory.

The facility was meant to boost value addition for cassava farmers and create employment. Instead, the factory stands idle, the premises locked, and farmers abandoned.

Unverified claims suggest that Yogi used the property to secure a Shs 3 billion bank loan before subleasing the land and exiting the scene.

Though the company’s current status remains unclear, public anger over the deal has intensified, with critics likening it to asset stripping disguised as investment.

“This is a betrayal of public trust,” said one civil society leader. “You can’t develop a district by mortgaging its future through shadowy deals.”

A Symbol of Systemic Failure



The stalled headquarters project is now being seen as a symptom of a much deeper crisis—where governance lapses, institutional amnesia, and elite bargains continue to obstruct service delivery.

Ema Kigaye, Secretary to the Mbale District Local Government, previously told Nile Post that several procedural missteps were under review but did not clarify whether any officials would be held accountable.

As pressure mounts, residents and political observers say the issue is no longer just about bricks and mortar. The public wants more than a building—they want a reckoning.

“This fiasco must be a turning point,” said one district councillor. “We need reforms in land management, in public accountability, and in how councils make decisions. Otherwise, we’ll keep building castles on quicksand.”

For now, with Shs1 billion in limbo, a contractor (National Housing Corporation) on standby, and no clear path forward, the district headquarters remains a ghost project—haunted by the past and paralyzed by the very system meant to build it.