KAMPALA- The highly contentious court case between Ham Enterprises and Diamond Trust Bank over UGX.120bn has been ruled in favour of business man Hamis Kiggundu on Wednesday, October 7, 2020 at the Commercial Court.
In March, 2020, Ham Enterprises sued Diamond Trust Bank (DTB) Uganda / Kenya for continously deducting colossal sums of money on his accounts belonging to Kiggs International Limited and the latter.
He claimed that the deductions were done between the month of February 2011 – August 2018 equivalent to a period of nine years totaling to UGX.34bn and USD.23bn without any agreement yet he has been paying promptly his credit obligations.
According to the judgemements made by Justice Henry Peter Adonyo, head of commercial court after his adjournment on Monday, October 5, 2020.
All titles have for mortgaged properties that Include; Kyadondo, Block 248, Plot 325 at Kawuku, Block 9 at Makerere hill road, plot 36- 88 Victoria Crescent (11) Kyadondo among others to be released.
Dismissed the defenses by Diamond Trust BanK( DTB) Kenya on reason that they are founded on illegalities since they had no operating license.
All contracts involving DTB Kenya & Uganda have been rendered null and void, the defendant should pay 8 percent interest of the money with immediate effect, release of debentures, Corporate and Personal guarantees.
City business man Hamis Kiggundu said that this has shown that the judicial system is still standing on their ground, before thanking his lawyers and Ugandans that have stood with him in this case, adding that he told them that DTB deducted his UGX 120bn but majority thought he was in drama.
“I vowed not to take this lightly in order to set a precedent to the rest of Ugandans that are being cheated. This Victory is not only for me but the entire country” he explained.
Fred Muwema, the plaintiff’s lawyer delightful said that it was a landmark judgement which upholds the rules of law, helps to protect Ugandan businesses that need the protection of the law , noting that it wasnot victory for Ham Enterprises Limited but the entire business community.
Diamond Trust Bank Uganda long-standing relationship with Ham Enterprises and Kiggs International Limited bore credit facilities worth UGX 6,663, 453 USD.4m and USD.500, 000 as per the defendant.
The defendant’s lawyers Kiryorwa Kiwanuka and Richard Bibangamba vowed to appeal on grounds that such judgements will crush the banking sector of Uganda’s economy and that they were unfair.
Ham Enterprises had a subtle win on the 30 percent precedent of the amount demanded before the suit.
Currently, there have been numerous court battles between customers and their bankers such as below which wasn’t the case.
-Simbamanyo vs Equity Bank
– Jomayi Property Consultants vs NC Bank.
– Ida May Kwesiga vs Housing Finance Bank
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