Charles Muhangi’s Property Row: “Anne Mugisha, Son Take on Bassajja, Lawyer”

BY: Eyalama In Business On

The battle for Charles Muhangi’s property has intensified with Anne Mugisha questioning the legality of a Memorandum of Understanding (MoU) prepared by lawyer Paul Tusubira  to execute the share proceeds of the deceased businessman’s estate, saying the law must be followed.

Ms Mugisha is the mother of Lionel Muhangi, who is a shareholder in Horizon Coaches Limited – a bus company.

With support from tycoon Hassan Bassajabalaba, Tusubira made Muhangi’s orphans sign for proceeds and property of Horizon Coaches Limited with Lionel walking away with only 9 percent.

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This legal procedure has since triggered a storm with the orphans and their mothers expressing concern over the manner in which the estate was being administered.

Lionel Muhangi says a lot of people are asking him why “I and other family members signed the fake MOU.”

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He further narrated: “My father had just been buried and we were presented a document by Bassajjabalaba.  Given the circumstances, we were given false information that was presented to benefit us all as a family. I contested it initially due to some clauses in that MOU that were very ambiguous.”

Lionel said he signed the document “under duress thinking it was in the best interest for my family in such a hard time. Later I consulted a lawyer who advised me to challenge it because it did not follow due process for administering the estate of a deceased person.”

On his part, Tusubira said he was asked by the family to “draft the MoU” basing on resolutions of a family meeting held on December 10.

It’s said Muhangi, who was recently found dead at his home in Buziga, Kampala, did not leave behind a will.

This left administration of his estate in the hands of the Administrator General.

But Anne Mugisha wondered: “Why isn’t anyone looking for a Will? How did Bassajja and Tusubira determine that Charles had no Will and decide to take matters in their own hands illegally?”

According to Ms Mugisha, Bassajjabalaba told the family they “needed to sign this fake document so that he could take them to State House to get paid for proceeds from a company in which he has no shares. Estates are not administered by MOU. Companies are not liquidated by MOU.  Let us follow the law.”

Ms Mugisha said he is not a family spokesperson but is interested in the matter as Lionel’s mother.

“And Lionel has an interest as the surviving shareholder of Horizon Coaches which recently won a long draw out battle. As soon as Charles was buried the vultures came out full force,” she charged.

The battle has since underscored the need for men especially polygamists to leave behind wills to guide their families on the administration of their estates.

As of Saturday morning, Lionel who owned a piece of the company continued to face with Bassajja and the widow trying to share proceeds of the whole company using a disputed formula.

Lionel has no legal representation at the meeting.

Property row

The fighting among Muhangi’s family members could work in the favour of Kampala businessman Drake Lubega who has since filed for a review of a court order handing over landhousing Qualicel Building in Kampala to Muhangi.

Muhangi and Drake has for long been engaged in a protracted court battle over the ownership of the prime property.

The bus operators, in a May 9, 2017 letter before court, accused Lubega of violently evicting lawful occupants on the land and causing destruction of property of the bus operators without compensation.

According to the complaint, at the time of the eviction, the owners were shareholders of UBOI and Horizon Coaches owned by former motor rally driver Charles Muhangi.

The Constitutional Court ordered Lubega to restore the peaceful status quo that existed before the dispute.

The court ruled the eviction of Horizon Coaches in March 2014 was unlawful.

Last year, the Supreme Court dismissed Lubega’s appeal challenging the Constitutional Court order for him to vacate the bus park land

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