parliament
NEWS

Moment of truth! School property case against tycoon Kirumira for judgement

The teacher accuses Kirumira of fraudulently purchasing their school on Entebbe Road.

KAMPALA – The High Court has set Thursday (August 29) to decide the fate of the dispute between businessman Godfrey Kirumira and teachers over fraudulent purchase and acquisition of a school at Bwebajja on Entebbe Road in Wakiso District.

Justice Elizabeth Jane Alividza of the Commercial Division of the High Court will deliver the judgment between Mr Stephen Sendagire and his wife Ms Gladys Nannyombi, the former proprietors of Bright Future Vocational Senior Secondary School against Mr Kirumira.

“If no appearance is made on your behalf, by yourself or by your counsel or by someone by law authorized to act for you, the case will be heard in your absence,” reads the court document.

Mr Kirumira is jointly accused with DFCU Bank and Kampala lawyer Mr Kabiito Karamagi over fraudulent sale and acquisition of the school property under caveat and undervaluation.

Mr Stephen Sendagire and Ms Nannyombi filed the case in 2018 claiming that the bank sold their school property worth more than Shs1.4 billion to Mr Kirumira at a cost of Shs300 million.

Claim

Court documents show that between May 2005 and May 2006, Mr Sendagire mortgaged the school at Shs460 million but he was given Shs280 million in installments and another Shs35 million was given differently which accumulated to Shs315 million.

It is alleged that DFCU Bank connived with Mr Kabiito who acted as the receiver and Mr Kirumira to declare that the use of the property was residential and undeveloped whereas it was commercial.

In his statement of defence, Mr Karamagi states that the bank had instructed and obtained a valuation report dated June 14 2007 by M/s Associated Consulting Surveyors that opined market value of Shs550 million but he forced sale value of Shs330 million for the said
property.

Court heard that a valuation Surveyor in the Lands Ministry, Ms Lucy Kabenge oversaw the transfer process of a school property at Kitende on Entebbe, without visiting the physical location but basing on mere documentation.

Evidence on court record shows that an official attached to the Chief Government Valuer’s office testified that she did not go to the property to verify the value of the property before approving the value of stamp duty.

Mr Kirumira, also a property dealer has since been questioned in regard to purchase of a property under caveat, undervaluation, and size of the property as well as the process followed to conclude the transaction.

But Mr Kirumira declined to state the securities in the property in dispute insisting that he bought the land at Shs300 million following a tendering process where his offer was the lowest.

Comments

All Rights Reserved. THE INFORMATION CONTAINED IN THIS WEBSITE MAY NOT BE PUBLISHED, BROADCAST, RE-WRITTEN OR RE-DISTRIBUTED WITHOUT THE PRIOR WRITTEN AUTHORITY OF THE PUBLISHERS

Copyright@2019: PMLDaily

To Top