estaban donando
-they/you were donating
Imperfect progressiveellos/ellas/ustedesconjugation ofdonar.

donar

Un día nos llamaron para decirnos que estaban donando terrenos para gente que había sido expulsada de sus pueblos y así es que fuimos colocados en el lugar donde hasta el día de hoy vivimos.
One day they called us to say that they were giving plots of land to people that had been expelled from their towns, and that's how we were placed in the town that we have lived in to this day.
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