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In the events of the court case between Ham Enterprises and Diamond Trust Bank, here is a quick summary of how everything started, to the last moment of judgement.
1. Ham borrows U$50M and UGX 100B.
2. DTB-Uganda books the facilities in DTB-Kenya books, like many Ugandan banks do because of their limited capital abilities.
3. Ham goes ahead and signs an agreement reading DTB-Kenya in 2011.
4. Ham starts paying well his loan (obviously with the system deducting monthly installments as per the offer letters).
5. Ham goes to Law Development Center, studies law. Since he was in the business of borrowing, he concentrates on laws relating to loans.
6. He realizes a loophole in the agreements reading DTB-Kenya yet he applied for a loan from DTB-Uganda.
7. He therefore withdraws all his cash in DTB-Uganda and defaults installments as they fall due.
8. DTB Uganda puts Ham’s securities on market to recover the loans
9. Ham runs to court (the main reason he’s referred to as the applicant or plaintiff) claiming the bank deducted his money from his account without his consent. This is the installments that the bank had recovered at first before the loan went bad, i.e US$23M and UGX34B.
10. After years of engaging in legal brawls, the judge says that;
- DTB-Kenya has no license from BOU to do financial lending business in the country. Neither does it pay taxes in Uganda, so the loans extended to Ham by DTB Kenya are settled at law level. Therefore, Ham has no obligation to pay them.
- DTB Uganda did not register DTB Kenya as the agent neither did DTB Kenya register its Ugandan counterpart as it agent as per Kenyan banking laws.
- The judge says that DTB in both countries should repay Ham US$23M and UGX34B with interest rate of 8%.
- Bank of Uganda and Uganda Banker’s Association get worried accordingly as the business of banks booking loans in foreign banks is the order of the day in the sector. Many borrowers may recheck their agreements and run to courts.
- Uganda Revenue Authority is quiet, however, it knows there’s tax avoidance as Foreign Banks don’t pay taxes in Uganda. (They know it will bite soon.)
In such a case, who do you think is at fault?
DTB-Kenya?
Ham Enterprises?
The Judge?
Bank of Uganda?
Uganda Banker’s Association?
Is this a land mark ruling or plain sight fraud?
Finally, is Hamis Kigundu(Ham Enterprises proprietor) a thief or smart or a smart thief!
Check Also;
- Here’s Why Bank Of Uganda Spent Shs 357,000 At Each Pen
- Equity Bank Faces It Rough With Angry Customer
- School Owners Worried As Banks Threaten To Take On Their Property
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![[dropcap]A[/dropcap] section of women in Bugongo parish and Nawangaiza parish in Nawandala Sub County, Iganga District have decried the near-impossible terms set for them to access GROW funds. They have now petitioned their woman member of parliament for Iganga Hon. Kauma Sauda Alibaawo to ask the government for revised terms and conditions. This is to enable them to benefit from the program. The disgruntled women accuse the implementers of the program of charging the money. They are also asking for their land titles and land agreements. They said that such properties are governed by their husbands. These, therefore want the government through their woman MP to intervene and revise the requirements for one to benefit. The women were on Wednesday at Namabwere primary school in Nawandala Sub County. They had gathered in their respective groups to receive over 300 chickens from Hon Alibaawo in her campaign to improve the livelihood of women in Iganga district. Each group was given 50 chicken as start-up capital in their journey to prosperity. Read what some leaders said; Ms Naigambi Lydia from Nawandala Trading Centre says, “They solicited money from us through opening bank accounts and depositing Shs80,000. They also asked for land titles and land agreements from us yet we don’t have such things. I was informed that I needed to have a business with a capital of Shs4m yet my capital was very small.” The chairperson Kisoboka Saving Group in Nawandala Ms. Nakagolo Faith said they were not able to join the program. This is given the many conditions attached. She also asked their woman MP to raise their concerns to the relevant offices. The MP condemned the mode of implementation of the program. She cited that it has turned to benefit the well-off class of women other than the intended group. She further asked the government to intervene saying the current strings attached to the programme are very tight to accommodate a common woman. GROW project is a Government of Uganda initiative that arose out of the need to respond to the needs of women entrepreneurs. This is especially those who want to grow their businesses, sustain their self-employment and create more jobs. Check Also; Iganga District NRM Leaders Urge Museveni To Fulfill Election Promises Of 2021 International Women's Day: Celebrating Progress Towards Equality](https://i0.wp.com/newslexpoint.com/wp-content/uploads/2024/11/Iganga-women-decry-tough-terms-to-access-GROW-funds-e1731738339732.jpg?resize=300%2C160&ssl=1)
