Sudhir – a city businessman – and Equity Bank suffer setbacks in the Simbamanyo case

The High Court denied Sudhir Ruparelia and Equity Bank’s preliminary objection to an application for discovery in the Simbamanyo property case. (Sudhir – a city businessman – and Equity Bank suffer setbacks in the Simbamanyo case )

This appears to be another victory for Simbamanyo and its proprietor Arc. Peter Kamya, following a previous case in which his appeal against the decision of the Registrar, His Worship Elias Kisawuzi, who had awarded Meera Investments Ltd and Ms. Luwaluwa Investments excessive taxation costs totaling UGX5 billion was upheld.

On Wednesday, the Commercial Court’s Head, Justice Stephen Mubiru, overruled a preliminary objection raised by Prof. Fredrick Sempeebwa on behalf of Sempeebwa and Co. Advocates, to an application for document discovery filed by Simbamanyo lawyers, M/s Byenkya Kihika and Co. Advocates.

According to Court Documents, Simbamanyo requested discovery of the following documents:

The applicants Simbamanyo have the right to inspect and obtain certified copies of the dollar account statement 1002201586895 operated by Luwa with Equity bank from September 25, 2020 to October 10, 2020.

The Managing Director of Equity Bank, One Samuel Kirubi, is directed to make discovery under oath of certified copies of email exchanges addressed to his email address [email protected], on the subject of Performance Based Guarantee, which related to the sale of the Simbamanyo properties, as follows

Sim Katende ([email protected]) email sent/copied to Sim Katende ([email protected]), [email protected], [email protected], and Samuel Kirubi ([email protected]) on Friday, September 25, 2020 at 2:09 pm.

On Friday, September 25, 2020, at 2:57pm, Walusimbi Nelson ([email protected]) sent/copied an email to Sim Katende, [email protected], Samuel Kirubi, and Gunn.

Mr. Samuel Kirubi, Managing Director of Equity Bank, makes discovery under oath of an executed copy of the Performance Based Guarantee referred to in (3) above between Equity Bank, Meera Investments, and Katende Sempeebwa and Co. Advocates.

Katende Sempeebwa and Co Advocates argued in support of their P.O. that the aforementioned documents were hearsay.

However, in overruling their preliminary objection, Justice Mubiru stated that the said documents could not be hearsay because the applicants provided the court with photocopies and the respondents did not deny their existence in their response.

As a result, in the interests of justice, the court declined to dismiss the application and allowed it to proceed. Both parties were given ten (10) days to file their submissions.

The lawyers for Simbamanyo argued that the contents of the documents are relevant to the main suit in the following ways:

In the main suit, Simbamanyo claimed that as proof that the impugned sale was premeditated, Equity Bank and Meera Investments executed a Performance Based Guarantee through their respective lawyers, M/s Katende Ssempebwa & Co. Advocates and Walusimbi & Co. Advocates, which concluded the sale in advance to the Simbamanyo properties. Copies of the emails and the Performance Based Guarantee were attached.

The emails and guarantee documents all refer to the purchase of real estate property from Equity Bank between October 1, 2020 and October 15, 2020. Equity Bank was to guarantee that Meera Investments purchased the property, or the bank would refund the USD 1,000,000 deposit.

The email correspondences, the Performance Based Guarantee document, and the previous account statement of the Katende Sempeebwa account number 1036200727349 all support the conclusion that USD 1,000,000 was made available to secure the purchase of the Applicant’s properties.

M/s Meera Investments and M/s Luwa Luwa were without a doubt the eventual successful bidders of the Simbamanyo properties in a never-to-be-held public auction.

These documents will be used at trial to demonstrate fraud and dishonesty prior to the contested public auction, which violated Section 29 of the Mortgage Act. (Sudhir – a city businessman, and Equity Bank suffer setbacks in the Simbamanyo case – LASTES NEWS IN UGANDA)