Matooke Republic
  • Home
  • News
  • Entertainment
  • Gossip
  • Features
  • Business
  • Sports
  • Health
  • Photos
  • Relationships
No Result
View All Result
Matooke Republic
  • Home
  • News
  • Entertainment
  • Gossip
  • Features
  • Business
  • Sports
  • Health
  • Photos
  • Relationships
No Result
View All Result
Matooke Republic
No Result
View All Result

Principal Judge halts ruling compelling DTB to pay Shs120b to Ham Enterprises

Matooke Republic by Matooke Republic
October 14, 2020
in Business
2 min read
Share on FacebookShare on Twitter

Principal Judge Flavian Zeija yesterday issued an injunction blocking the execution of Commercial Court orders for Diamond Trust Bank (DTB) to refund Shs34b and $23.2m (Shs86b) which they allegedly deducted from Ham Enterprises’ accounts. 

“It is hereby ordered that an interim order for stay of execution of the decree in the High Court Civil Suit number 43/2020 doth issue pending the determination of the main application for stay of execution,” Zeija’s interim order reads in part.

This interim order means that Ham Enterprises cannot commence the recovery process of the money from the DTB as had been ordered by the head of the Commercial Court, Justice Henry Peter Adonyo last week.

RelatedPosts

Jobs: Premier Recruitment Ltd announces over 50 jobs for Electrical Technicians to work in Qatar

CMS offers three months’ grace period for new tenants at six top city buildings including Kingdom Kampala and Electrical Plaza

Justice Adonyo had ruled that DTB Kenya is not licensed to conduct financial business in Uganda and, therefore, the credit facilities granted to Ham Enterprises of businessman Hamis Kiggundu were irregular, null and void.
Adonyo said that DTB Uganda contravened the Financial Institutions Act and agent bank regulations when in acting as a collecting agent for DTB Kenya.

“I declare that the credit defendants (banks) breached the different loan agreements in which the applicant (Ham Enterprises) acquired between 2011 and 2019,” Justice Adonyo.
The judge then directed DTB to refund Shs34b and $23.2m to Ham Enterprises.

This was because DTB Kenya Limited in conducting a financial institution business as a deposit taking financial institution licensed in Kenya, illegally impacted on activities in Uganda and that it had to be penalised.
The court’s decision shook the banking sector, with the Uganda Bankers’ Association saying the court decision has put a portfolio of Shs5.7 trillion held in syndicated loans at stake and that borrowers with bad intentions would default on their loans, citing the judgment as precedence.

This morning Bank of Uganda also pronounced itself on the ruling with Governor Tumusiime Mutebile saying foreign banks don’t require authorization to lend to local entitles because they are regulated within their jurisdictions.

In the meantime DTB has appealed commercial court judgment.

Tags: DTBHam Enterprises
Previous Post

UPDATE: Police, UPDF raid NUP offices in Kamwokya, seek red berets

Next Post

Security team didn’t have any search warrant – NUP official

Related Posts

Jobs: Premier Recruitment Ltd announces over 50 jobs for Electrical Technicians to work in Qatar

2 days ago

CMS offers three months’ grace period for new tenants at six top city buildings including Kingdom Kampala and Electrical Plaza

2 weeks ago
Next Post

Security team didn't have any search warrant – NUP official

JOBS

Hot Right Now

Gov’t threatens to arrest Ugandans accessing social media via VPN

Police blocks transfer of MP Odonga Otto from Gulu Hospital to Mulago

Ssegirinya’s ex-girlfriend saddened that the Kawempe North MP-elect is not recognizing her after victory

JUST IN

Canadian company Gisha Productions Inc partners with Kyabazinga’s Gabula Royal Foundation

January 21, 2021

Erias Lukwago retains Kampala Lord Mayor Seat for the third term

Kampala Lord Mayor Race: Uganda will not attain change if you don’t believe in young leaders –Pallaso cries foul following Chameleone’s loss

Police blocks transfer of MP Odonga Otto from Gulu Hospital to Mulago

MP Odonga Otto collapses at Police Station while being interrogated for escaping from police custody

Makerere University sets dates for reopening

Gov’t threatens to arrest Ugandans accessing social media via VPN

POPULAR

  • Sheebah grants Matooke Republic exclusive access inside her house. Here are photos from the sitting room to bedroom

    25 shares
    Share 25 Tweet 0
  • Eddy Kenzo reacts to Rema’s alleged introduction to another man

    15 shares
    Share 15 Tweet 0
  • Woman kicked out of her rented apartment on her birthday party by Landlady for changing men regularly

    111 shares
    Share 111 Tweet 0
  • Crane Bank used to give me 10 years to clear loan – Senana owner laments as Stanchart moves to take her property

    14 shares
    Share 14 Tweet 0
  • VIDEO: You can’t say we have been married for 29 years yet we have had sex less than 100 times — Pastor Bugingo continues to sting wife Teddy Naluswa

    5 shares
    Share 5 Tweet 0
Matooke Republic

© Matooke Republic 2019

  • Home
  • News
  • Entertainment
  • Gossip
  • Features
  • Business
  • Sports
  • Health
  • Photos

© Matooke Republic 2019