Charles Muhangi’s Property Row:”Son goes to court to battle with Lubega”

Lionel Muhangi, the son of deceased businessman Charles Muhangi, has asked the Supreme Court to allow him take part in defending “the interests of horizon Coaches” in a legal showdown with tycoon Drake Lubega.

Lionel, in notice of motion registered at the Supreme Court in December 2018, says Lubega on November 21, 2018 filed a case seeking the Supreme Court’s interpretation of the consent order in SCCA 5/15 and Civil Appeal number 12/15.

Unfortunately, said Lionel, on December 6, his father and majority shareholder of Horizon Coaches Ltd, Muhangi, died.

Lionel said “due to the demise of the majority shareholder of Horizon Coaches and before a judicial substantive process to appoint the administrator of his estate, there is a likelihood of compromises that may diminish adversely the interest of horizon coaches.”

Lionel argued that “being the sole surviving shareholder of Horizon Coaches be added to the application to defend the interests of Horizon coaches.”

Muhangi was found dead at his residence in Buziga, a Kampala suburb, on December 6 – the day he was set to meet with President Museveni to discuss his rivalry with Lubega.

At the time, Lubega was disputing a Supreme Court order reaffirming the former’s ownership of land housing Qualicel Building in Kampala.

Lubega and Hajj Matovu built Qualicel Bus Terminal Shopping Centre, Qualicel Bus Terminal and Nabukeera Arcade on the former Baganda Bus Park land which the Supreme Court said was owned by Muhangi.

Lubega and Matovu were also constructing a new structure in the Park Yard when Muhangi evicted them following the Supreme Court ruling.

The duo has since sought an interpretation of the Supreme Court ruling to reverse the statusquo.

Trouble

Lionel said in the motion seen by Eyalama reporter “there has not been a judicial process for appointment of administrators to the estate of Charles Muhangi,” adding, “persons claiming to be in charge have purported to distribute his estate, an act that is prejudicial to the law, callous and contrary to our Ankole custom that enjoins us to mourn our beloved deceased.”

Lionel also contends the sharing agreement has purported to distribute the deceased’s interest in Horizon coaches with the likely effect of diminishing or extinguishing its property contrary to what the deceased wanted.

The property worth millions of dollars was distributed among Muhangi’s children, wife, mother and brother during a contested meeting held late last year.

Lionel has since challenged the credibility of the resolutions taken at the meeting, saying there is a plot to sell Muhangi’s property and divide proceeds among the surviving family members.

Lionel Muhangi and his mother, Anne Mugisha accuse tycoon Hassan Bassajjabalaba of conniving with the deceased’s widow to sell off the properties to Drake Lubega.

Yet, said Mugisha, Muhangi never wanted his property sold.

“I heard some people lying at the funeral that Charles Muhangi had agreed to accept money for the disputed park property when he met President Museveni.  This is not true. I kept the last messages he sent on WhatsApp and Charles was as determined as ever to keep his hard earned court order,” said Mugisha.

She said Muhangi “may have died but those trying to dance on his grave will have to contend with my son Lionel who is determined to defend his father’s legacy.  And he is empowered to it as the surviving shareholder of Horizon Coaches the company which won the court order against Drake Lubega. So those going to State House to claim ‘air’ should stand warned.’”

According to the motion before the Supreme Court, Lionel said it is more likely than not that the purported “people in charge” of Charles Muhangi’s estate will compromise the interest of Horizon coaches.

“As the surviving shareholder though a minority one (one percent) wish to be made a party to SCCA No 32/18 to allow me fend off the likely unfair and unjust compromises that are meant to diminish or extinguish the property of Horizon coaches,” he said.

The company was formed on May 25, 1994 with Muhangi taking 49 percent shares and Lionel 1 percent. Other shared were yet to be allotted, according to registration documents.

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