Day

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In Kampala.

City property mogul Sudhir Ruparelia has sued Sebalu & Lule advocates, the recently contracted external lawyers for Bank of Uganda (BoU), for alleged conflict of interest arising out of one of the court cases where the law firm is representing dfcu Bank.
The petitioner, Crane Management Services owned by Mr Ruparelia, contends that there exists an advocate-client relationship with the lawyers of Sebalu & Lule Advocates yet the same law firm is representing an opposing party against them in another court matter.
Mr Ruparelia was also owner of the closed Crane Bank which the central bank sold to dfcu Bank.

In view of the advocate-client relationship between the applicant (Crane Management Services Ltd) and the 1st respondent (Sebalu & Lule advocates), the latters continued participation as defence counsel for the 2nd respondent (Dfcu bank) herein, which is the defendant in High Court Civil Suit (HCCS) No. 109/2018 against the applicant/plaintiff, is prejudicial to the applicants head suit, the petition reads in part.
The suit was filed at the Commercial Court on Tuesday.
Crane Management Services further contends that the advocate-client relationship through which vital and confidential information was discussed and exchanged between the two parties and their continued defence of dfcu bank would be prejudicial to them.

petitioner now wants the court to issue a permanent injunction, restraining Sebalu & Lule Advocates from appearing as defence counsel for dfcu bank in the other court case that the two principals are battling out.
Early this year Mr Ruparelia also sued two law firms MMAKS Advocates and J.F. Mpanga Advocates, who had been hired by Bank of Uganda to represent the central bank in the case against Crane Bank. He sued the law firms for conflict of interest and court disqualified them from representing BoU.

The original matter involves Crane Management Services suing dfcu bank over rental arrears amounting to Shs2.9b and $385,728.54.
The rental arrears allegedly being in respect of tenancies of suit properties that were formally owned by Crane Bank, which has since been sold to dfcu bank by Bank of Uganda.
The suit documents further say that Crane Management Services had let out various premises on the suit property to the then Crane Bank from where it operated its business in the premises on the terms agreed by the parties.

Crane Management Services principally deals in real estate business. The suit documents further indicate that when Dfcu bank took over the assets and liabilities of Crane Bank, it also took over occupation and use of the said rented properties from which the real estate company wants to recover accumulated rent arrears from Dfcu bank.
Some of the properties cited include; Crane Bank branches at plot 9 on Market Street, plot 1-13, Jinja Road, plot 47, Republic Road-Mbale, Speke Hotel (1996), Pot 19 Cooper Road (Crane Plaza), plot 20, Kampala Road Crane Bank ATM.

Kevin Tuheirwe

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In Rukiga

The Chairperson for Health, Education and Community Based Services Committee in Rukiga district council Eddy Mugisha is on the spot for altering recommendations from the standing committee.

This was exposed yesterday during the council session that was held at the district council hall in Rukiga town council. Mugisha, who is the district councilor representing Rwamucucu sub county, was discovered when he was given a platform to read recommendations of the committee before the council.

The recommendations were reached by the standing committee on December 11^th, 2018. However, immediately after reading seven recommendations, the Rukiga District Chairperson, Alexander Kampikaho questioned him to explain why some of the recommendations are not listed yet they were agreed upon.

Kampikaho cited an example of how the standing committee recommended ordering the acting Rukiga District Health Officer, Davis Ahabwe to return to his normal position of the Mparo Health Centre in-charge, as the district advertises, for the fully fledged district returning officer. According to Kampikaho, Ahabwes stay as the District Health Officer has crippled effective service delivery At Mparo Health Centre since he was the only qualified doctor there.

Kampikaho also accused Mugisha for explaining to the council that the standing committee recommended that all ambulances be repaired as the district lobbies for transport means for the health department without revealing the amount of the money to use and the source as it had earlier been agreed upon. Kampikaho says that what angers him most is that as one of the committee members, he has no knowledge about the editing of the recommendations.

Kampikaho was supported by the District councilor representing Kamwezi Sub county, Jackson Muganiizi and the Rukiga District Male Youth Chairperson, Michael Kwarikunda Mbareeba who furiously said that Mugishas act of editing recommendations is uncalled for.

The Rukiga District Speaker, Geoffrey Byamugisha warned Mugisha against altering recommendations without consent of all his committee members. Byamugisha also referred all Mugishas committee recommendations to the standing committee for further scrutinisation.

In his defense, Mugisha denied editing the recommendations and shifted the blame to clerk to council, Gordon Tabaro.

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In Kampala—————-

Parliament set tough conditions for the release of the two passports for the former Executive Director Supervision at Bank of Uganda, Justin Bagyenda threatening to hunt down for her in any part of the world, should she miss any probe hearing into closure of the seven defunct banks.

The conditions were issued by MPs on the Committee of Commissions, Statutory Authorities and State Enterprises (COSASE) led by the Committee Chairperson, Abdu Katuntu who said that the Legislators wont have a repeat of events that unfolded when Bagyenda flew out of the country midway the proceedings.

Katuntu said: We will release you passport however, you will be here on the 8th January 2019 and please, dont make us say what we dont want to say because if you are aware we are resuming on the 8th January and you arent here, we have only one thing to do, which I dont have to repeat but we will do that. There will be no summons issued; we will start looking for you.

It should be recalled that last week, Bagyenda wrote to the Committee asking to have her passports released to allow her fly out of the country to enjoy the Christmas festivities but the Committee delayed the ruling on grounds that Bagyenda first harmonises her holidays with the Committee schedule.

Early in December, COSASE confiscated Bagyendas passport and ordered her to deposit the travel documents with Parliament Police until investigations into the closure of the seven defunct banks is completed by the Committee after doubts arose on her commitment to attend the proceedings.

As the Executive Director Supervision and also former Director Commercial banking, Bagyenda who has been at Bank of Uganda for about 35years is a key witness in the probe having overseen the closure of most of the banks between 1993-2016 and evidence before the Committee has shown that she negotiated the sale of Crane Bank, Global Trust Bank, National Bank of Commerce among others.

With the Committee having completed its interface with Bank of Uganda officials, Katuntu revealed that the Committee will later meet with owners of closed banks and other interested parties.

We are now going to meet the former owners and directors of defunct banks, we shall also meet this company called SIL Investments and Kirkland during that process however as I talk, we have quite a number of letters from people who think they have some useful information to this process and we are going to give them opportunity to come and appear before us, COSASE Chairperson said.