Ugandan Tycoon Tom Mugenga Wins $17 Million Payout from Kenya Over Post-Election Violence Losses
KAMPALA – In a landmark ruling that concludes a nearly two-decade legal battle, Ugandan businessman Tom Mugenga has secured a monumental victory against the Kenyan government, with a court awarding him millions in compensation for colossal losses suffered during the 2007/08 post-election violence.
The Kenyan Court of Appeal directed the state to pay $16.955 million (approximately UGX 59 billion) to Mugenga Holdings for the extensive destruction of assets and business paralysis it endured. Mugenga, a distinguished entrepreneur with vast investments in clearing and forwarding, real estate, and agro-processing, is the owner of Mugenga Holdings, Voice of Muhabura FM, and a former director of Crane Bank.
The case was jointly pursued by sixteen Ugandan transport and logistics companies, including Intraspeed Logistics Ltd, Dooba Enterprises Ltd, and Wilbex Uganda Ltd. They collectively challenged Kenya’s Attorney General and Inspector General of Police for their failure to protect foreign-owned assets during the widespread chaos that followed the disputed 2007 presidential election.
The court found in their favour, awarding Mugenga Holdings $16.8 million in special damages for obliterated assets and an additional $155,000 (KSh 20 million) for a confiscated property. In his testimony, Mugenga detailed the severe impact of the unrest, stating he lost eight trucks and was forced to auction property in Mombasa to settle mounting debts.
The firms operated fleets critical to regional trade, transporting goods between the Mombasa Port and the hinterland nations of Uganda, Rwanda, and the Democratic Republic of Congo (DRC). They sought justice for over twenty vehicles and cargo consignments that were either looted or incinerated, laying bare the devastating impact of state negligence on cross-border commerce.
This ruling not only represents a significant financial redress for the affected businesses but also sets a crucial precedent for state accountability in protecting investments and upholding the rule of law within the East African Community. For Tom Mugenga and his fellow claimants, the verdict marks the end of a long and arduous fight for justice.
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