Exclusive information reaching our news desk this evening, the High Court Judge Henry Peter Adonyo has today ordered Diamond Trust Bank (DTB) to pay Ham Enterprises Shs 120 Billion ($33 Million) illegally debited from the company’s accounts with an 8% interest rate (Shs 9.6 Billion) as penalty for illegalities carried out on Ham Enterprises Accounts, return all titles previously secured by the bank and release all the personal guarantees.
The ruling, much anticipated by all banking observers in the country and around East Africa has been described as a true genesis of Uganda’s journey to true economic independence. Uganda celebrates her 58th Independence Day anniversary on Friday 9th October, 2020.
DTB Uganda and DTB Kenya have been ordered to pay the hefty sums after losing the fraud case that has been going on in the courts versus the youthful tycoon.
In January 2020, Ham Enterprises dragged Diamond Trust Bank Uganda and Kenya to Court for fraudulently debiting over Shs 120 Billion from their Shillings and Dollar accounts over a spread period of about 10 years.
The Bank having failed to refund the unlawfully debited monies from the company’s accounts, Ham Enterprises instituted legal action against them for recovery of the same.
Diamond Trust Bank responded by alleging demand of Shs 39 Billion and asking the court to impose regulation 13 which requires that anyone
challenging a Bank must pay 30% of the disputed amount to Ham Enterprises.
This regulation which was just ‘smuggled’ into the mortgage act was however ruled out of the case by court and Ham Enterprises resultantly petitioned the constitutional court challenging its constitutionality with intent to salvage Ugandans who have for years been victims of the existing banking system.
This ruling is a landmark victory towards cleaning Uganda’s Banking Industry, a subject that Ham Enterprises (U) Ltd CEO Mr. Hamis Kiggundu has continuously proposed citing the fact that Uganda can not be economically independent if our economy is not hence the need to urgently institute banking reforms.
In today’s ruling the honorable court has ordered Diamond Trust Bank to pay all monies that were illegally debited from Ham Enterprises (U) Ltd accounts including penalties and return of all the land titles that the bank has been holding to Ham Enterprises (U) Ltd.