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Court Halts Tycoon Kalungi’s Building Project Over Uganda Railways Land Encroachment

The Land Division of the High Court has issued a temporary injunction halting the construction of a commercial building owned by city tycoon Moses Kalungi, after it was found to have encroached on land belonging to Uganda Railways Corporation (URC).

According to court documents, URC conducted a boundary opening which revealed that Kalungi’s construction project had extended approximately 18 meters into land registered to the corporation.

The dispute traces back to December 2024, when Kalungi began excavation works on plots 43 and 41 along Nasser Road in Kampala. The land was being prepared for the construction of a multi-storey commercial complex.

URC officials, upon discovering the potential encroachment, advised Kalungi to suspend works pending a formal boundary assessment. However, the businessman reportedly ignored the advice and proceeded with rapid construction.

In response, URC filed a legal suit, prompting the High Court to intervene. Justice Rashidah Batanula issued a temporary injunction against further development on the disputed site.

“A temporary injunction does issue restraining the respondent, her servants, employees, assignees, agents, and/or successors in title from further alienating, transferring, wasting, constructing, excavating, selling, and/or entering into any part of the suit land… until the disposal of the final suit pending before this Honorable Court,” read the court order.

By the time the ruling was made, five floors of the building had already been constructed. Construction activities have since ceased, with Uganda Railways Police now deployed at the site to enforce the court’s directive.

URC emphasized that illegal encroachment on its land has been a persistent problem. The corporation is currently working on compensating more than 20,000 people who have settled without authorization along the Kampala–Malaba–Kyengera–Port Bell railway corridor, as part of its railway development initiatives.

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