AFTER buildings leased to new Chinese investors have already been refurbished, with three new structures including a supermarket and a restaurant, some local interest groups are demanding that the buildings be restored to them.

In what has become a pointed controversy in the town, reports say that the Zogowale ward executive officer and the Misugusugu division officer have been suspended for having approved the lease agreement without the relevant circles concerned.

Residents say that the investors began operations at the facility last Sunday, after making expensive alterations and innovations, while some groups are insistent about the legitimacy of the lease process.

Local authorities formed a committee to investigate the matter, and some sources affirm that the matter is now with the regional authorities, whereas Ezekiel Shija, the committee chairman, said that they are waiting for feedback from higher authorities on how to resolve the dispute.

Janeth Kazimoto, an expert at the Legal and Human Rights Centre (LHRC) said on the issue that the government can intervene, as an original agreement provides that the buildings be returned to the government if the women’s group supposed to operate there was unable to pursue their project.

The LHRC official was of the view that the government can take action against the group or the investors if the proper procedures were not followed, in the wake of the failure of a project aimed at empowering low-income women and youth in Kibaha District, Coast Region.

The issue has sparked significant controversy after the buildings intended for entrepreneurial activities were leased to Chinese investors, where the stakeholders say that the consultation was minimal before the accord was reached.

The buildings, located in Zogowale ward, Misugusugu division, were built in 2009 by Ways Organisation to support economically disadvantaged groups by providing resources such as chairs, fridges and television sets to help them start small businesses.

Earlier this year, the buildings were leased to Chinese investors by the beneficiary group, apparently with authorization from the two local government officials now said to have been suspended.

That implies it is untrue that there was inadequate consultation with the local government or the original project participants as it is the participants of their leaders who leased the buildings to the new investors that have since improved the facility as a whole.

Monica Daniel, one of the founding members of the youth group that initially benefited from the project, said that the group struggled to maintain interest, leaving the responsibility for the project to the women’s group to see how entrepreneurial activities can be sustained.

"Initially, we were given equipment to start with, but over time, the youth lost interest, and the Women’s Group took over. When we couldn’t maintain the tempo, Ways Organisation told us to hand it back to the government," she said.

The failing project earlier seemed to have a clear trajectory towards community empowerment and failure to use the facility left little option but to hire the budding complex to more capable investors.

The buildings were hence leased to Chinese investors for over 10m/- annually, under a six-year agreement, a length of time showing that the original stakeholders have little or no expectation of restarting their activities.

Halima Kondo, a veteran member of the women’s group, confirmed the lease agreement but voiced concerns over the lack of communication and follow-up regarding the arrangement.

“We were told the buildings would be leased for six years, and the investor would pay annually. However, we have not received any updates about the progress or what will happen next,” she said.

Rukia Simba, chairperson of the women’s group, declined to comment on the matter. She stated that a government-appointed investigation committee had already questioned her and other group leaders about the issue.

"I cannot comment on this until I meet with other members of the group," Simba stated, while Edward Mkondya, chairman of Zogowale ward, said he was not properly consulted about the lease agreement. 

He stated that although he was asked to sign papers about the lease, he had no prior knowledge of the terms and refused to sign. "I was asked to sign documents regarding the lease, but I had no information about the details. I refused to sign," he specified, upon which the divisional executive officer, satisfied with what it contained, signed.

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