The commission in a recent ruling said it was forced to halt the sale after a group of former employees at See TV came out claiming nonpayment of their salaries.
See TV had officially applied back in June, 2023 to UCC, to allow the transfer of its license to Pastor Mugerwa’s Mutundwe Christian Fellowship Broadcasting Ministry’s Ltd (MCF).
It was reported at the time that Pastor Mugerwa was purchasing the struggling See TV at about Shs. 800million.
As part of the license transfer process, UCC issued an announcement calling for comments and possible objections from the public, regarding the proposed license transfer from See TV to MCF.
Days later, the commission received a complaint from a group of 27 former See TV employees claiming nonpayment of their salaries.
During the meeting, it was revealed that the former employees had already filed a case with the KCCA Labor Court against See TV and its owner, one Brutus Kagingo, and that it would be sub-judice for the commission to greenlight this sale before the hearing and determination of the case.
On August 10, UCC summoned representatives from See TV, MCF, and former employees to make their submissions on the matter.
The See TV lawyers in their submissions admitted to the unpaid arrears.
“It is true that upon final verification of staff attendance register, some of the complainants may have some unpaid salary arrears owed by the complainant,” the lawyers submitted.
In her final ruling on the matter on August 30, UCC Executive Director Irene Kaggwa, decided to hold the transfer until both See TV and Pastor Mugerwa can agree on how to clear the former employees' arrears.
“Therefore…it is the Commission's finding that approval of the proposed transfer of the license should be made subject to both See TV and MCF committing to pay whatever amount of money that the Labour officer or the Industrial court shall find to be due and payable to the employees,” Kaggwa ruled.
Pastor Mugerwa as the buyer, was advised to withhold out of the total consideration for the purchase, the amount that the labor court will have determined payable to the workers, and pay them himself.
If both Pastor Mugerwa and Kagingo fail to agree on this arrangement, UCC will refuse to grant approval for the purchase and license transfer.