Tondeka buses seized by Kenyan company amid legal battle

Tondeka stopped operating its designated Ntinda-City Square route nearly six weeks ago, leaving commuters stranded.

The company is not commenting on the situation, but it is believed that RentCo Africa has repossessed the fleet of buses.

Images of the buses, repainted and rebranded as Metro Bus, started circulating on social media platforms early this month.

It's been reported that Metro will put the buses on the Kampala-Entebbe Airport route.

RentCo hired a bailiff to impound the buses, despite a court order preventing them from doing so.

Tondeka and RentCo have been in court for the past two years, arguing over how to treat the money Tondeka paid in import duties and taxes on the buses.

Tondeka wants this money to be credited toward their lease payments, but RentCo is refusing.

According to the initial agreement, RentCo was supposed to supply fully built buses. However, Tondeka opted for local assembly.

RentCo paid a Chinese company to ship the components to Uganda, and Tondeka paid for the import duties and taxes, as well as the cost of local assembly.

Tondeka is upset that RentCo did not change the lease contract to reflect these costs.

In March, RentCo reportedly seized the buses and sold them to an unnamed company that is now trying to take over Tondeka's commuter contract with the Kampala Capital City Authority (KCCA).