
Works and Transport Minister Fred Byamukama has uncovered a suspected Shs700 billion compensation scheme surrounding the stalled Nakawuka road project, exposing allegations of inflated land values, hastily erected structures and questionable graves allegedly designed to extract huge payouts from the government.
The scandal emerged during Byamukama’s inspection of the 72.5-kilometre road project, which includes the Nakawuka–Nateete, Nakawuka–Kasanje–Mpigi, Nakawuka–Mawagulunanzi–Junea, Kasanje–Buwaya and Entebbe–Nakiwogo road links.

What was expected to be a routine assessment of project delays instead opened a window into what investigators suspect could be a carefully organised attempt to manipulate the government’s land acquisition and compensation process.
The Shs700 billion question
The biggest concern is the extraordinary cost attached to acquiring land along the road corridor.
Land values were reportedly pushed to as much as Shs2 billion per acre, sharply increasing the amount the government would have to pay before construction could proceed.
The resulting compensation bill is estimated at about Shs700 billion.
For a road project already facing implementation challenges, such a figure raised questions about whether the compensation burden reflected genuine market values or whether the process had been manipulated to create opportunities for profiteering.
Byamukama’s inspection brought those concerns to the forefront.
Fake graves appear
Among the most striking discoveries were graves that investigators suspect could have been created or manipulated to attract compensation.
The empty graves were allegedly constructed in Membe Village, Maziba Parish, Mpigi District, as those behind them anticipate heavy compensation.
According to Byamukama, compensation rates for graves are higher than those for bare land.
The Minister is expected to return to Membe, with the view of removing the structures.
The allegations suggest that some individuals may have placed graves within the road reserve in anticipation of government compensation, exploiting the sensitivity surrounding relocation of burial sites to increase the value of claims.
The ministry is now examining the authenticity, ownership and circumstances surrounding the graves identified along the project corridor.
If the allegations are confirmed, the graves would represent more than an irregularity in the compensation process—they would point to an elaborate attempt to manufacture assets where none previously existed.
The ghost houses
The investigation has also uncovered suspicious structures along the planned road alignment.
Cheap wooden multi-storey buildings were reportedly erected in areas affected by the project, raising suspicions that some were constructed specifically to qualify for compensation.
One such multi-storey bush structure was reportedly valued at a staggering Shs11 billion.
The apparent mismatch between the nature of the structure and its alleged valuation has become one of the issues under scrutiny.
Investigators are seeking to establish when the structures were built, who owns them, who valued them and whether they existed before the road project was planned.
Road alignment under scrutiny
Even more serious are allegations that the road alignment itself may have been manipulated.
Officials are investigating claims that sections of the planned road network were altered or diverted so that the alignment would pass through particular properties and structures.
The suspicion is that some of these properties could have been secretly connected to individuals involved in the project or compensation process.
Such an arrangement would create a potentially lucrative cycle: influence the alignment, place or identify valuable-looking properties along it, inflate their valuations and then claim compensation from the government.
The allegations have not yet been proven, but they have triggered a wider investigation into the planning, surveying, valuation and acquisition stages of the project.
Two ministry officials arrested
The investigation has already resulted in the arrest of two Ministry of Works and Transport officials.
Byamukama ordered the arrest of ministry valuer Isaac Akampa and surveyor Elijah Sekitto.
The two officials are being detained at Mpigi Police Station as investigators examine their alleged roles in the land acquisition process.
Their arrest has brought the compensation exercise under sharper scrutiny, particularly the valuation and surveying decisions that determine which properties fall within the road reserve and how much taxpayers ultimately pay.
The State House Anti-Corruption Unit is supporting the investigations.
Ministry seeks cheaper route
Rather than simply proceed with the compensation demands, the ministry has directed officials to examine whether portions of the road alignment can be adjusted where technically feasible.
The objective is to avoid unnecessary compensation costs while preserving the functionality and purpose of the road.
The directive reflects the ministry’s growing concern that taxpayers could be forced to spend hundreds of billions of shillings acquiring land and structures whose values or existence may have been deliberately manipulated.
Byamukama’s inspection has therefore turned the spotlight on an issue that extends beyond a single road project: how public infrastructure projects can become vulnerable to inflated valuations, questionable ownership claims and deliberate construction of properties intended to trigger compensation.
The investigation will now have to establish who created the alleged fake graves and structures, who benefited from their valuations, whether the road alignment was deliberately manipulated and whether public officials were involved.
For the government, the stakes are enormous.
A compensation bill approaching Shs700 billion would represent a substantial public expenditure, making the integrity of the acquisition process critical to whether the Nakawuka road project can proceed without exposing taxpayers to potentially fraudulent claims.
The ministry says it will continue reviewing the affected sections, pursuing accountability and protecting public funds while working to ensure the long-delayed road project is delivered.
The allegations against the arrested officials and other individuals remain subject to investigation and due process.
It should be remembered that several works Ministry Engineers and other government officials have been arrested or forced out of office in recent weeks over corruption, as reported Here and There.






