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Gulu, Uganda | THE INDEPENDENT | The Uganda Railways Corporation (URC) officials have cautioned sitting tenants on the corporation’s estate in Gulu City against subletting rental units.
Mercy Ampaire, the Principal Property Management Officer at URC says the corporation has established that a number of the tenants have sublet their rentals to other tenants and making a profit out of it illegally.
At least 52 Tenants are occupying the URC estate at Upper Railways Quarter in Bardege-Layibi Division in Gulu City.
Speaking to sitting tenants during a meeting in Gulu City on Tuesday, Ampaire says the corporation is facing challenges of accumulated rent arrears arising out of illegal subletting of their units.
Ampaire says they have discovered that some tenants who sublet their units charge between 150,000 to 200,000 Shillings monthly in rent, yet URC charges only 40,000 Shillings. According to her, despite the tenants who call themselves landlords receiving payments from subtenants, they don’t remit the money to the government.
She notes that those subletting their rental units are illegally extorting money from other people arguing that those implicated will be prosecuted in courts of law.
Tuesday’s meeting was convened by URC officials following protests by sitting tenants at Upper Railways Quarter a month ago who accused URC of enforcing the collection of accumulated arrears without a formal tenancy agreement. URC officials accompanied by Police officers early last month stormed the tenants demanding 1.4 million shillings from each tenant in rent arrears for the last three years.
At the meeting, Florence Acan, the Chairperson of the sitting tenants noted that the majority of the tenants had been stopped from paying rent from 2013 by URC officials at the time the corporation intended to privatize its property. She says even when URC started demanding payments, no formal demand notices along with tenancy agreements were issued to tenants indicating terms and conditions.
“We had no problems with payments but it was URC officials who stopped us from paying rent. We were harassed last month by URC officials and police over arrears yet there wasn’t any official communication,” She said.
During the same meeting, subtenants also raised complaints of paying exorbitant rent fees to official tenants known by URC officials. For instance, Suzan Atimango, one of the new tenants on the estate says she has been paying her two-roomed housing unit at 150,000 shillings and alleged that her landlady has been harassing her while demanding the payment.
Maj. Twaha Kabuye, a Legal Officer at URC however says such payments were being made illegally and warned that it must stop with immediate effect.
“If you move out and sublet your housing unit, your tenancy with the corporation ceases. The corporation doesn’t entertain subletting,” Maj. Kabuye told the tenants.
Responding to the complaints of the tenancy agreement, Maj. Kabuye says the corporation was already in the process of drafting a tenancy agreement that will soon be issued to tenants after screening.
Kamba Amiri, the Deputy Resident City Commissioner in charge of Bardege-Layibi Division however faulted URC officials for failing to work with stakeholders in the city in implementing the enforcement of arrears collection.
Amiri tasked on the URC officials to expedite the process of formalizing tenancy agreements with the tenants to address the current confusion between the tenants and the URC.
URC currently owns residential properties and spaces on an estimated 28 acres of land in Gulu City.
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