The Parliamentary Committee on Physical Infrastructure has opened an inquiry into circumstances surrounding the transfer of a prime 1.3-acre parcel belonging to the Uganda Railways Corporation (URC) to Philadelphia Trade and Industry Limited, an entity linked to local businessman Godfrey Kirumira.
The matter arose during a hearing chaired by Hon. Mwine Mpaka, where URC management, led by Managing Director Benon Kajuna, was summoned to address operational and governance concerns, including missing rolling stock, land management deficiencies, and procurement practices.
Regarding discrepancies surrounding land title tenure, the real estate in question is situated directly opposite Victoria University, facing the Uganda Railways headquarters in Kampala.
Presenting the corporation’s account, Kajuna explained that the land was originally leased in 2000 by the Kampala District Land Board to the then Kampala City Council (KCC) under a 99-year lease agreement. On June 1, 2006, KCC granted a five-year sublease to Philadelphia Trade and Industry Limited.
Kajuna informed lawmakers that while the firm subsequently sought to convert its holding into a 99-year lease, the transaction was halted following a caveat lodged against the title on April 27, 2012. He stated that there was an intention to extend the interest to 99 years, but this did not happen because a caveat was lodged over the property before completion of the proposed extension.
However, Hon. Mpaka countered this submission by presenting evidence from an independent registry audit conducted by the committee. According to official records retrieved from the Uganda Registration Services Bureau (URSB), Philadelphia Trade and Industry Limited—held by members of the Kirumira family—currently holds a registered 99-year lease over the property.
Mpaka noted that the committee conducted a registry search confirming that Philadelphia Trade and Industry Limited holds a 99-year lease on this land, adding that the committee will summon Kirumira to clarify the transaction.
Addressing systemic encroachment and administrative challenges, the hearing highlighted broader institutional vulnerabilities regarding URC’s real estate portfolio. Kajuna reported that the corporation has been unable to retrieve several land titles retained by the Ministry of Finance, Planning and Economic Development following the historical privatization process.
In response, URC is preparing to apply for special certificates of title using secondary documentation to secure its holdings. To mitigate further risk across its estate, URC has initiated a comprehensive land recovery strategy involving systematic boundary reopening and re-surveys, title migration to secure digital registers, and legal proceedings to cancel illicitly issued titles. To date, URC has identified more than 24,600 encroachment cases along its national rail corridors. On network rehabilitation and operational safety, the governance inquiries coincide with ongoing state-funded infrastructure modernizations.
The Ugandan government has committed Shs100 billion toward rehabilitating the metre-gauge railway network and Shs105 billion for rolling stock acquisition and infrastructure upgrades, aiming to optimize freight logistics, enhance passenger services, and reduce regional transport costs.
Parallel to infrastructure investments, URC has introduced targeted safety interventions along active corridors, including level-crossing upgrades, barrier installations, deployed crossing guards, and targeted public awareness campaigns. The committee’s proceedings remain ongoing, with further hearings scheduled to examine the property conveyance process.
