Businessman Hamis Kiggundu has submitted a petition to the Supreme Court, urging them to postpone the anticipated judgment in his case against Diamond Trust Bank Uganda and Diamond Trust Bank Kenya. Kiggundu is seeking to recover Shs 120 billion from the banks and is now requesting an opportunity to present additional evidence from the Central Bank of Kenya to support his claims of illegality in the disputed credit transactions.
The Supreme Court’s pending judgment stems from a series of legal proceedings initiated by Kiggundu against DTB Uganda and DTB Kenya. The case originated from a banking agreement between Ham Enterprises Limited, Kiggs International Limited, and the two banks. Kiggundu had borrowed over Shs 120 billion from the banks between 2011 and 2016 for his real estate business.
The dispute arose when the banks accused Kiggundu of failing to fulfill his loan obligations of Shs 39 billion. They threatened to seize the mortgaged properties, prompting Kiggundu to approach the Commercial Court. In October 2020, the Commercial Court ruled in favor of Kiggundu, ordering DTB Uganda to refund the deducted funds, alleging that the deductions were made without his consent.
However, the banks sought relief from the principal judge, leading to a stay of the execution of the Commercial Court’s orders. This prevented Kiggundu from recovering the funds, and the banks subsequently appealed to the Court of Appeal. The Court of Appeal overturned the Commercial Court’s decision and ordered a retrial before a different judge.
Unsatisfied with the Court of Appeal’s ruling, Kiggundu appealed to the Supreme Court. However, he now wishes to postpone the judgment delivery, citing seven grounds, including the Court of Appeal’s alleged errors in addressing the question of illegality.
Kiggundu argues that during the appeal hearing, the banks admitted the grounds of appeal. As a result, he filed an application seeking judgment based on this admission. Despite his numerous requests to be heard, the Supreme Court did not grant him an opportunity, informing him of the scheduled judgment delivery during a recent pre-hearing session.
In his latest application, Kiggundu reveals that the Central Bank of Kenya did not grant approval for DTB Kenya to engage in the disputed credit transaction. He claims this information was not known to him during the appeal hearing and believes it is crucial to his case.
The Supreme Court’s forthcoming judgment will ultimately determine the outcome of Kiggundu’s appeal and the resolution of the ongoing legal battle between Kiggundu and DTB Uganda and DTB Kenya.
Last week, tensions rose outside the Supreme Court when DTB’s lawyers requested the dismissal of Kiggundu’s application, citing its alleged irrelevance and intention to waste the court’s time. Stakeholders closely await the court’s decision on Kiggundu’s application, which could significantly impact the case’s trajectory.
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