Luzira Prisons Giveaway PII: Museveni Under Fire for Donating the Prisons Land to a Thieving Tian Tang Company Which is Allied to Railway Line Vandal

In a controversial decision, President Yoweri Kaguta Museveni has directed Interior Minister Gen. Kahinda Otafiire to enter negotiations with Tian Tang, a company implicated in a railway theft scandal, for the donation of Luzira Prisons land. The land is intended for the construction of a five-star hotel, sparking outrage and accusations of rewarding criminal behavior.

President Museveni’s directive, dated July 10th, 2022, has drawn criticism for overlooking Tian Tang’s questionable history, including its involvement in the theft and vandalism of Uganda’s railway infrastructure. Despite these concerns, the President has chosen to proceed with the land donation, raising questions about accountability and transparency.

Tian Tang’s tarnished reputation came to light during investigations into the rampant theft of railway materials, particularly rails and sleepers, which have caused significant financial losses and compromised safety. Officials from Uganda Railways Corporation (URC) estimated losses exceeding USD 100 million over the past decade alone, highlighting the magnitude of the issue.

Sanjay Awasthi, the founder and Chairman Tembo Steels (Courtesy Photo)

The above figure doesn’t even account for the loss of life and property resulting from train accidents caused by compromised infrastructure! According to URC officials, the railway materials` heist, particularly rails and sleepers, has reached alarming levels. Entire sections of railway lines spanning over 400 kilometers have been uprooted, causing immense financial losses estimated above!

The modus operandi of these thieves was simple yet devastating. A four-meter rail, which costs USD 120, was, and still is sold to steel companies as scrap for a mere UGX 20,000. The stolen materials were, and still are then melted down by these steel companies Tian Tang and Tembo Steels, and repurposed into lucrative products such as steel bars, pipes, and nails, fetching prices far higher than the original value of the stolen rails.

The theft of railway materials follows a simple yet devastating pattern. Despite court-sanctioned raids on Tian Tang’s factory complex in Mbalala Mukono and Tembo Steels’ facilities in Lugazi and Iganga, both companies evaded significant consequences, paying nominal settlements far below the value of the stolen goods.

The Auditor General’s report exposed a disturbing pattern of collusion and mismanagement, with both Tian Tang and Tembo Steels paying settlements that failed to account for the real extent of their wrongdoing. Despite the damning evidence, Tian Tang only faced a nominal penalty of a mere UGX 210 million in an out-of-court settlement!

Tembo Steels also managed to evade significant consequences, settling for a meager UGX 520 million, a fraction of the estimated UGX 12.39 billion worth of stolen materials.

Further investigations revealed the audacious nature of the theft, with reports detailing how Tian Tang’s factory was constructed using stolen railway materials, underscoring the shamelessness with which these companies operate.

Efforts to unveil the individuals behind these crimes reveals Tian Tang’s founder, Zhang Zhigang, and Tembo Steels’ owner, Sanjay Awasthi. Despite their dubious backgrounds, President Museveni’s decision to donate Luzira Prisons land to Tian Tang has raised eyebrows, with critics arguing that it rewards criminal behavior and undermines efforts to promote accountability.

The Tembo Steels Factory in Iganga (Courtesy Photo)

As Uganda endeavors to restore its railway infrastructure, the actions of Tian Tang and Tembo Steels serve as a stark reminder of the challenges posed by corruption and greed. The decision to donate prime land to a company with a tainted reputation has sparked outrage and renewed calls for accountability in governance.

Despite the significant losses incurred by their criminal activities, Tian Tang and Tembo Steels have not faced true accountability, instead using their ill-gotten gains to expand their ventures. Now, with President Museveni’s approval, they seek to capitalize on Luzira Prisons land, further fueling public outcry and highlighting the urgent need for justice and transparency. Watch this space…

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Stanley Ndawula: Stanley Ndawula is a two and a half decades’ seasoned investigative journalist with a knack for serious crimes investigations and reporting. He’s the Founding Editorial Director and CEO at The Investigator Publications (U) Limited