Picfare drags Finance ministry to court over Shs21b debt
Posted Thursday, May 29 2014 at 01:00
Investor had won a case but was not paid accordingly
Kampala- Picfare Industries Limited has dragged the Secretary to the Treasury- ministry of Finance, Planning and Economic Development to court over a Shs21.62 billion debt.
According to an application of mandamus filed at the Commercial Court, Picfare wants court to compel the respondent (the Secretary to the Treasury, ministry of Finance) to carry out the statutory duty to pay it (Picfare) the sum of Shs13, 320,120,224 plus interest of Shs8, 302,874,889 as of March 31, 2014.
The said money was the amount awarded to the investor (Picfare) in the consent judgment dated May 20, 2011 against the Uganda Land Commission.
Grounds of the case
In 2001, Picfare sued the Uganda Land Commission, represented by the Attorney General in the High Court under civil suit No.521 of 2001 for misappropriation of and illegal allocation of land comprised in LRV1306 Folio 11, Plot 24/26 Entebbe Road, Kampala to a third party.
The consent judgment was entered in favour of the Picfare against Uganda Land Commission in the total sum of sh13, 320,120,224 plus interest at 22% per annum.
Upon signing the consent judgment by the parties, it was reportedly entered by the High court after which a Decree was extracted and a certificate of Order against Government was taken out.
Picfare, through its lawyer, Mr Patrick Furah, claims that it has since then made several demands to the Secretary to the Treasury to meet his obligation but in vain.
“Take further notice that the grounds upon which the relief is sought are contained in the affidavit of Richard Mubiru, the director of Corporate Affairs of the Applicant (Picfare) which shall be read and relied upon at the hearing of this application,” read part of the notice of motion filed on May 19th 2014 before the Commercial Court.