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Money lenders petition EACJ over Ham vs Diamond Trust Bank court decision

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A group of Ugandan money lenders have petitioned the East African Court of Justice seeking to quash a recent Commercial Court decision in a case involving businessman Hamis Kiggundu and Diamond Trust Bank Uganda and Kenya.

Under the Money Lenders Union Limited together with their Secretary General Hassan Male Mabirizi, the group has filed their petition before the regional court’s sub registry in Kampala.

They are challenging the October 7th decision by the head of Commercial Court Justice Henry Peter Adonyo who ordered DTB Uganda and Kenya to refund all the money that was illegally taken from Kiggundu’s accounts amounting to Shs34bn and 23.2m dollars (Shs86bn) respectively.

The court also ordered the two banks to return all his land titles citing that the evidence on record indicates that all the loans totalling to 41 billion shillings the businessman had obtained from the banks were fully settled.

The money lenders argue that the decision by the Commercial Court Judge can better be described as robbery of a lender by the borrower while being supported by the court.

They now want the East African Court of Justice to quash the decision by the commercial court, declare that Kiggundu is still liable to pay the loans he obtained from the banks and also award them general damages for the inconveniences caused to them arising from the Adonyo decision.

Meanwhile, yesterday the principal judge Flavian Zeija issued an injunction blocking the execution of the Commercial Court orders, until the main application for stay of execution orders is determined.

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