Temangalo land: NSSF, Nzenyi reach agreement

After 18 years, when the National Social Security Fund (NSSF) acquired a piece of land in Temangalo, Wakiso District, the long-standing ownership dispute on the land again gained momentum this year with a parliamentary probe on why the fund failed to take full possession of its property.

At the centre of the land dispute is 45acres of the 463acreas of the controversial land NSSF bought from businessman Mr Amos Nzeyi and ARMA Limited in 2008 at Shs11 billion.

However, after a long standing dispute, while appearing for parliament’s Committee on Commissions, Statutory Authorities and State Enterprises (COSASE) chaired by Mr Muwada Nkunyingi, on August 24th, both parties informed the committee that they had reached a consensus agreement that Mr Amos Nzenyi backs back money to NSSF for the 45 acres of land that he has failed to surrender to the fund even after the fund had paid for it.

In 2008, NSSF bought 463.87 acres of land in Temangalo from Mr Nzenyi and ARMA Ltd for Shs 11 billion. The land comprised six separate certificates of title, all registered in the name of NSSF, which are also in possession of the titles.

But Mr Nzenyi has continued occupying the45 acres which are part of the larger land, despite NSSF holding the titles.

According to Ms Agnes Tibayeita Isharaza, the NSSF legal Director, said that following the engagement between the two parties, they reached an agreement that the seller [ Nzenyi] buys back the land at the prevailing market price, which will be subjected to evaluation.

While appearing before the same committee last week, through his lawyer, Mr Peter Kabatsi from Kampala Associated Advocates, Mr Nzenyi gave two conditions to NSSF to either buy all the land he owns in Temangalo, or he stays on the land and refunds the fund's money for the 45 acres in dispute.

However, Ms Isharaza noted that the agreement in principle awaits approval from the NSSF board and the Minister of Finance, Planning and Economic Development before transitions are done.

“There is an agreement in principle subject to the required statutory approvals, which include the board endorsement; we would have to go to the minister, we will have to follow the PPDA process, because it will be a disposal,” she said.

She added, “And it is understood by now, there will be a purchaser, if this position is endorsed.”

Ms Isharaza explained that if the fund’s position is endorsed, it will be able to transfer the title from NSSF's name back to Nzenyi and they take possession of the 10 acres they accepted from the alternative land that Nzenyi had offered to them.

“In the spirit of resolving this long outstanding dispute, we believe it is a fairly reasonable option to pursue, subject to all the approvals that we must get,” Ms Isharaza said.

While appearing before the committee in person, Mr Nzeyi agreed with the conditions in the agreement and said he is ready to pay the money the land will be agreed at as per the current market but also offer the 10 acres the fund has agreed from the alternative land he had offered.

“The land contains my country home; I can’t just sit in a country home, with 10 acres, 12 acres. It doesn't make sense. I would rather quit and leave completely. I'm offering the fund what they have requested me to offer. They said the 10 acres; we liked it, give it to us. I agreed that I will sign; I will transfer the 10 acres to the fund. And the 45, I said, value it at current price, will return your money,” Mr Nzenyi said.

He added, “You get a government value, you get even another independent valuer; we will meet at a figure which I will pay.

According to the agreement, the terms of settlement for the land swap between NSSF and Mr Nzenyi, both parties agreed in fulfilment of the arbitration award, that Mr Nzenyi shall execute transfer deeds in favour of the fund for the transfer of 10 acres of suitable land comprised in Wakiso Block 277, Plot 85 and 86 as soon as possible.

The other is that Nzenyi shall purchase 45 acres of land from the fund at the current market value as soon as possible and that the sale is subject to the valuation of land by both private valuers and chief government valuers, and it was agreed that the fund shall subject the offer of sale to all statutory approvals.

“It is further agreed that Dr Nzenyi’s country home and pastures with his cows shall be retained by him and the title to the subject property shall revert to him. Either party commits to grant access to the other to the public highways in which the parties have put their hands on the 24th day of August 2026. Now that is the terms of settlement for land swap that has been entered into by the parties,” part of the agreement reads.

“Mr Patrick Ayota, the Managing Director of NSSF, revealed that the fund will hold a board meeting next week to consider the agreed terms and conditions for approval.

Once the board approves it, then it goes to the Minister of Finance. Once the Minister of Finance approves it, then we have a contract of sale, and that goes to the Solicitor General,” he said.

The committee chairperson, Mr Muwada Nkunyingi, said that the matter has dragged on and has ignited sentiments.

The meeting was adjourned to next week after the board meeting, when the fund will update the committee on the outcomes of the board.