Amos Nzeyi (L) has severally faced off with Patrick Ayota, the current NSSF boss (R) over the disputed Temangalo land
HABARI DAILY I Kampala, Uganda I No money will exchange hands in the long-running Temangalo land dispute between businessman Amos Nzeyi and the National Social Security Fund (NSSF), after the businessman agreed to surrender all the 55 disputed acres to the Fund unconditionally, bringing an end to an almost two-decade ownership battle.
The agreement means Nzeyi will vacate the contested land in Temangalo, Wakiso District, without receiving compensation or a refund for the property, which NSSF originally purchased in 2008.
The development marks a major victory for the Fund, which had been battling to recover the land amid years of negotiations, failed settlement proposals and court proceedings.
NSSF Managing Director Patrick Ayota disclosed the breakthrough while appearing before Parliament’s Committee on Commissions, Statutory Authorities and State Enterprises (COSASE), where he explained that the Fund had abandoned its earlier proposal to negotiate a land swap and instead secured an agreement for the unconditional return of the entire 55-acre property.
Under the new arrangement, Nzeyi will surrender possession of the disputed land, while NSSF retains ownership backed by land titles already in its possession.
The agreement effectively brings to a close one of Uganda’s most controversial land disputes involving a major public institution and a prominent businessman.
From land swap to unconditional surrender
The latest agreement follows a series of unsuccessful attempts by NSSF to recover the property through negotiated settlements.
In June 2026, the Fund issued Nzeyi with an ultimatum to provide acceptable alternative land by June 30 or face legal action.
The demand followed an assessment of alternative properties he had proposed as part of an arrangement to resolve the dispute. NSSF reportedly found most of the offered land unsuitable for its requirements.
Under an earlier proposal, Nzeyi was expected to surrender 10 acres and purchase back the remaining 45 acres from the Fund.
However, the proposed arrangement failed to provide a satisfactory resolution, prompting NSSF to abandon the land-swap plan altogether.
When the June deadline expired without an acceptable settlement, the Fund intensified its efforts to regain possession of the property.
In August 2026, NSSF approached the High Court seeking enforcement measures and an eviction order to reclaim the full 55 acres.
The legal action was intended to ensure that the Fund recovered the property it had purchased nearly two decades earlier but had struggled to take full possession of.
However, before the eviction process could reach its conclusion, the parties returned to negotiations, resulting in the November agreement under which Nzeyi accepted to surrender the entire disputed property.
Why Nzeyi will not be compensated
The most significant aspect of the new agreement is that NSSF will not make any additional payment to Nzeyi for the 55 acres because the Fund maintains that it already purchased and paid for the property in 2008.
Ayota reportedly ruled out further compensation, arguing that NSSF holds the registered titles and is therefore entitled to recover the land without paying again.
This represents a major departure from the earlier negotiations, which had contemplated a complicated financial arrangement involving the purchase of 45 acres and the surrender of 10 acres of alternative land.
The earlier proposal would have required valuations by the Government Chief Valuer and independent private valuers, alongside approvals from the NSSF board and the responsible minister, as well as compliance with public procurement requirements.
The Fund ultimately considered the process cumbersome and opted for an arrangement that would allow it to recover all the land without another financial transaction.
The businessman had previously taken a firm position against vacating the property unless NSSF either purchased all the land he occupied or refunded the money paid for the disputed acreage. His acceptance of the latest arrangement therefore represents a significant shift in the negotiations.
According to reports presented to Parliament, the latest understanding was reached after fresh discussions between the two parties in early November.
However, the agreement had not yet been formally signed when Ayota briefed MPs. He undertook to provide the committee with minutes endorsed by the parties as interim evidence of the understanding, pending execution of the final agreement.
Survey to determine exact boundaries
Before taking physical possession, NSSF intends to conduct a fresh joint boundary-opening survey to establish the precise location and extent of the 55 acres.
This is particularly important because the area currently occupied by Nzeyi, including his residence and paddocks, reportedly measures approximately 58 acres.
The Fund says it will only reclaim the 55 acres covered by its registered titles, leaving any additional land outside the titles to be dealt with separately.
The survey is expected to prevent fresh disagreements over boundaries and ensure that the handover is conducted in accordance with the registered ownership documents.
A Shs11bn transaction that haunted NSSF for 18 years
The Temangalo controversy dates back to March 2008, when NSSF purchased approximately 463.87 acres from Nzeyi and ARMA Limited for Shs11 billion to develop a major housing project.
The transaction involved several certificates of title, which were subsequently registered in the Fund’s name.
However, a memorandum of understanding signed alongside the sale agreement allowed Nzeyi to retain approximately 104.88 acres, including his farmhouse and paddocks, on condition that he provided NSSF with suitable alternative land within six months.
The proposed land exchange was never fully completed, leading to arbitration proceedings in 2013.
Although the arbitration award upheld the principle of exchanging the retained property for suitable alternative land of equivalent value, subsequent assessments found that only approximately 10 acres of the alternative land offered by Nzeyi met NSSF’s requirements.
This left 55 acres unresolved and became the subject of years of disagreements.
The controversy has also attracted parliamentary scrutiny over the due diligence conducted before NSSF committed workers’ savings to the land acquisition.
Housing project awaits full recovery
Recovering the disputed land is important to NSSF because the Fund intends to develop a mixed-use affordable housing estate on its 463.87-acre Temangalo property, located approximately 17 kilometres from Kampala city centre.
The prolonged dispute has complicated efforts to obtain full physical possession of the land and advance the planned development.
However, the latest agreement offers an opportunity to resolve the outstanding issue with Nzeyi and allow the Fund to proceed with its investment plans.
There are, nevertheless, other ownership claims involving portions of the wider Temangalo estate, including claims by families associated with the former Temangalo Tea Estate. These are separate from the 55-acre agreement with Nzeyi and remain subject to legal processes.
COSASE has indicated that it will continue monitoring the implementation of the agreement to ensure that NSSF secures possession of the property.
For NSSF, the recovery would represent more than the conclusion of an 18-year dispute. It would also demonstrate its determination to protect workers’ savings and secure assets acquired on their behalf.
For Nzeyi, surrendering the 55 acres without further compensation marks the end of a prolonged disagreement over property he had continued occupying despite NSSF holding the registered titles.
The next critical steps are the formal signing of the agreement, the joint survey and the eventual handover of the land.
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