KAMPALA – The Commercial Court in Kampala has ordered Simbamanyo Estates Limited and proprietor Peter Kamya to pay UGX1. 3 billion worth of legal costs to Equity Bank Uganda and two other companies.
Court documents indicated that court registrar Elias Kisawuzi ordered Simbamanyo and Kamya to pay UGX600 million to Equity Bank, UGX300 million to Meera Investments Limited and UGX300 million to Luwaluwa Investments Limited.
Consequently, court also dismissed six cases earlier filed by Simbamanyo Estates and Peter Kamya. The two wanted the sale and transfer of Simbamanyo House and Afique Suites, cancelled by court.
In October Last year, the Court of Appeal in Kampala dismissed with costs, an application by administrators of Simbamanyo Estates Limite in which they wanted the auctioning of its prime properties in Kampala which was meant for Equity Bank Ltd to recover outstanding loans worth $10.8 million (Shs40 billion) to be halted.
In February this year, the Commercial Court also dismissed the same case in which Simbamanyo Estates Limited proprietors wanted to halt the auctioning of its prime properties in Kampala by Equity Bank Limited to recover outstanding loans worth $10.8 million (UGX40 billion).
Deputy registrar Lillian Bucyana on February 17 dismissed the matter citing that “the suit abates for failure to take out summons for directions in time”.
Justice Christopher Madrama had earlier ruled that Simbamanyo Estates did not present to court acceptable grounds for court’s consideration to deny the bank legal costs incurred.
“…the respondent (Equity Bank) upon being served, instructed lawyers and the lawyers took action to oppose the application by filing the appropriate affidavits in reply, as well as written submissions,” he ruled.
He condemned the applicant to costs.