Overview:
The High Court has ordered Mukesh Shukla to pay 14 billion shillings in damages and mesne profits, placing his business empire at risk of asset seizure. The landmark judgment concludes years of litigation over the unlawful possession of prime city property.
KAMPALA, Uganda — Prominent businessman Mukesh Shukla faces the potential seizure of assets after the High Court ordered him to pay 14 billion shillings for the illegal occupation of a prime commercial building in the capital.
The ruling, which favors the estate of the late Bonney Mwebesa Katatumba, concludes a decade of litigation over Shumuk House, formerly known as Katatumba Suites. The 14 billion shilling award covers mesne profits, damages and legal costs accumulated during Shukla’s years of unlawful possession.
Legal experts say the scale of the judgment makes asset attachment a likely next step for the Katatumba heirs if the funds are not paid promptly. Such an enforcement action could involve the auctioning of Shukla’s properties or business interests to satisfy the court-ordered debt.
The dispute is rooted in a series of transactions from 2008 that the court has repeatedly deemed fraudulent or lacking proper legal standing. Previous judgments against Shukla’s entities have already resulted in the cancellation of titles for other high-value properties, including Hotel Diplomat in Muyenga and a resort on Banda Island.
The massive payout adds significant financial pressure to Shukla’s business portfolio, which includes Shumuk Aluminium Industries Ltd. He has faced several legal challenges in recent years, including convictions for forgery related to property handovers and ongoing disputes with financial institutions.
The Katatumba family has signaled its intent to seek full restitution. If Shukla fails to meet the payment or secure a stay of execution through an appeal, the family may move to attach his personal and corporate assets to recover the billions of shillings owed to the estate.
The case underscores the high financial stakes of long-term property disputes in Uganda, where the courts are increasingly holding occupiers liable for the commercial value lost by rightful owners during periods of illegal possession.