The battle for control of Uganda’s insurance industry has dramatically escalated after the High Court in Kampala blocked the Insurance Regulatory Authority (IRA) from implementing its decision to deny Chief Executive Officer Kaddunabbi Ibrahim Lubega a contract renewal.
In a ruling delivered on May 29, 2026, Justice Joyce Kavuma issued an administrative interim order stopping the IRA Board from enforcing its controversial February decision that rejected Kaddunabbi’s reappointment, handing the long-serving CEO a major legal victory in a dispute that has exposed deep divisions at one of Uganda’s most powerful regulatory bodies.
The ruling comes at a critical moment, with Kaddunabbi’s contract effectively expiring at the end of May and the regulator already moving to install a replacement.
COURT REJECTS IRA’S ARGUMENTS
The Insurance Regulatory Authority had urged the court to reject Kaddunabbi’s application, arguing that any preservatory orders would effectively amount to the judiciary renewing a contract that legally falls under the powers of the Executive.
Lawyers representing the regulator told court that Parliament had vested the authority to renew the CEO’s contract in the Minister of Finance acting on the advice of the Board, not the courts.
The regulator further argued that granting the orders would create confusion and potentially leave the authority with “two CEOs” after the Board had already recommended another individual to take over the position.
But Justice Kavuma was unconvinced.
In a stinging rejection of the regulator’s arguments, the judge ruled that Kaddunabbi’s contract had not yet expired and that the impending end date could not be used as a reason to deny him protection from the court.
The judge further noted that the regulator had failed to adequately explain the “different prevailing reality” it claimed existed on the ground.
THE REAL FIGHT IS OVER PROCESS
Significantly, the court drew a distinction between forcing the renewal of Kaddunabbi’s contract and challenging the process through which the Board reached its decision.
Justice Kavuma emphasized that the case before court is not about compelling the regulator to renew the CEO’s contract.
Instead, she observed that Kaddunabbi is challenging what he believes was an unfair and unlawful process that resulted in the Board declining to recommend him for another term.
That finding could prove crucial as the substantive case moves forward.
Legal analysts say the ruling suggests the court sees sufficient issues in the manner the Board handled the renewal process to warrant preserving the status quo until a full hearing is conducted.
AUDITOR GENERAL’S REPORT ENTERS THE FRAY
The court proceedings also revealed the emergence of an Auditor General’s report that appears to have become a key weapon in the battle.
Kaddunabbi’s lawyers complained that they were only served with the report about 30 minutes before the hearing and therefore required time to study and respond to its contents.
Although the contents of the report were not publicly discussed during the proceedings, its sudden appearance signals that questions surrounding Kaddunabbi’s stewardship of the regulator may become a major feature of the substantive hearing.
The regulator’s lawyers countered that Kaddunabbi was already aware of the report and had participated in processes leading to its issuance.
The dispute over the report points to a potentially explosive showdown when the matter returns to court.
A MAJOR EMBARRASSMENT FOR THE BOARD
The ruling is also a significant setback for the IRA Board, which had already set in motion plans for a leadership transition.
The court’s order effectively freezes the Board’s February 16 decision and prevents it from taking any action to implement the rejection of Kaddunabbi’s renewal until the matter is fully heard.
For a regulator tasked with overseeing governance and compliance across Uganda’s insurance sector, the public legal battle presents an uncomfortable image of turmoil at the top.
The judge dismissed suggestions that preserving Kaddunabbi’s position would paralyze the institution, stating that statutory bodies are designed to survive beyond individual office holders.
That observation appears to challenge claims that retaining the status quo would create operational chaos.
HIGH-STAKES POWER STRUGGLE
The case has quickly evolved into more than a simple employment dispute.
At stake is the authority of the IRA Board, the transparency of appointments to key regulatory offices, and the limits of judicial intervention in executive decisions.
For Kaddunabbi, the ruling offers a temporary lifeline in a fight that could determine whether he remains one of the most influential figures in Uganda’s financial sector.
For the Board, it represents a judicial roadblock that could delay plans to usher in new leadership.
The court has directed the respondents to file their affidavits in reply, with the matter set for hearing as the legal war intensifies.
Until then, the regulator remains caught in uncertainty, with the future of its top office hanging in the balance.
What began as a contract renewal dispute has now become a full-scale courtroom showdown—one that could reshape leadership at Uganda’s insurance watchdog and set an important precedent for public sector appointments.












