In the notice, the two banks through their lawyers of K and K Advocates note they are not contented with the ruling by Justice Henry Peter Adonyo.
Lawyer Fred Muwema Represents Hamis Kiggundu
Diamond Trust Bank Uganda and Kenya have filed a notice of appeal
challenging the Commercial Court decision directing them to refund 120 Billion
Shillings to businessman Hamis Kiggundu.
In the notice, the two banks through their lawyers of K and K Advocates note they
are not contented with the ruling by Justice Henry Peter Adonyo.
"Take notice that Diamond Trust Bank Uganda Limited and Diamond Trust Bank
Kenya Limited the above-named defendants being dissatisfied with the Judgement
and order by Honorable Dr Justice Henry Peter Adonyo delivered on
October 7, 2020, intend to appeal against the whole decision to the court of
Appeal" reads the notice in part.
On Wednesday, Justice Adonyo ordered Diamond Trust Bank Uganda and Kenya to refund more than 120
Billion Shillings they illegally deducted from two accounts of Kiggundu.
In August 2020, Kiggundu petitioned the court after 85 billion
Shillings and 34 billion Shillings were illegally deducted by DTB Uganda and
DTB Kenya from two accounts of his companies without his knowledge and
consent. The companies are Ham Enterprises and Kiggs International
The documents indicate that between 2011 and 2016, Kiggundu through the two companies
acquired loans totalling to 41 Billion Shillings from DTB Uganda and Kenya to
finance his real estate businesses on condition that he mortgaged his
properties in Makerere Hill, Kawuku, Kyadondo and Victoria Crescent Road among
other plots of land.
However last year, the banks reportedly served him with documents indicating
that he has not met his loan obligation worth 39 billion Shillings as per their
agreement and threatened to take over the properties he had mortgaged. As a
result, Kiggundu petitioned the commercial court saying that the money that was
withdrawn from his dollar and shillings accounts was excess yet he had also
fully paid the loan.
Justice Adonyo ruled that DTB Uganda became a principal offender
by facilitating the commission of an offence by allowing DTB Kenya which did
not have a license to operate in Uganda to do financial businesses in the
Adonyo ordered the two banks to refund all the money that was
illegally taken from Kiggundu’s accounts amounting to 34 billion shillings and
23m dollars (85 billion Shillings) immediately.
The court also ordered the two banks to return all his land titles citing that
the evidence on record indicates that all the loans the businessman had
obtained from DTB Uganda were fully settled.
The two banks were also ordered to
pay Kiggundu an interest of eight per cent of the money as well as costs for