The Commercial Division of the High Court has ordered Kasese Hospital Limited and its director, John Henry Baguma, to vacate a property in Kyabuyiri, Bukonzo County, Kasese District, within 90 days.
In a judgment delivered on June 10, 2026, Justice Anna Mugenyi granted an order for vacant possession of the land registered as FRV HQT 753 Folio 19, Block 26, Plot 182, directing the defendants to hand over the property to the rightful owners or face lawful eviction.
“The defendants shall vacate and hand over vacant possession of the suit property to the plaintiffs within ninety days from the date of this judgment. In default of compliance, the plaintiffs shall be at liberty to execute the order through lawful eviction,” Justice Mugenyi ruled, while also awarding costs of the suit to the plaintiffs.
Court records indicate that Kasese Hospital Limited obtained a loan facility secured by the property, which was registered in the name of Baguma. Following a default on the loan repayments, the lender, the Microfinance Support Centre (MSC), initiated foreclosure proceedings to recover the outstanding debt.
The property was subsequently advertised and sold through a public auction on July 19, 2019, to Johnson Kalenbayi Bwambale, who later acquired legal title to the land.
According to MSC, Kasese Hospital Limited challenged the sale before the transfer process was completed, arguing that the foreclosure was unlawful. However, the court later dismissed the challenge and upheld the validity of the sale, ruling in favour of MSC on August 19, 2024.
Despite the court’s decision, efforts to secure physical possession of the property reportedly hit a snag after auctioneers instructed by MSC were blocked by police, who advised them to first obtain a court order for eviction.
MSC maintained that, following the completion of the sale and transfer of ownership, both Baguma and Kasese Hospital Limited were legally obligated to surrender possession of the property. The lender argued that repeated notices and engagements failed to persuade the occupants to vacate, prompting the application for vacant possession.
In their defence, Baguma and Kasese Hospital Limited told the court that they had appealed the earlier judgment before the Court of Appeal and that the matter remains pending. They further stated that they had filed an application seeking a stay of execution of the judgment and related orders.
However, Justice Mugenyi found merit in the application for vacant possession and ordered the defendants to leave the property within three months, paving the way for enforcement measures should they fail to comply.
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