The High Court in Kampala has issued and iterim order blocking the sale or mortgage of Dokolo County MP Felix Okot Ogong’s Shs2billion house and other properties until a suit he filed against the bank is disposed of.
The auctioneers acting on behalf of the bank and MODPART, a debt management firm recently issued a public notice in the Daily Monitor on June 18 advertising the MP’s house among the commodities that were up for sale by July 21.
But the MP through Ms Twesigye, Oyuku and Company Advocates, applied for an interim order restraining DFCU from selling his luxurious house located on plot 353 at Mutungo- Luzira and his land on Kyadondo Block 237.
The interim order issued by the High Court Deputy Registrar- Land division, Michael Otto Gulamali on June 23rd, 2014 now stops both parties from proceeding with the mortgaging and sale of the two plots.
“This application coming for hearing this 23rd day of June 2014 before his worship Otto , upon the application of Mr Oyuku Anthony, counsel of the applicant.
It is hereby ordered that the interim application be allowed. Both parties are restrained from selling, mortgaging the suit land comprised of Kyaddondo Block 237,plot 353 at Mutungo ,Luzira until the hearing of the miscellaneous application inter-parties on 09/07/2014,” reads the order in part.
The MP while addressing a news conference in Parliament yesterday dismissed reports that DFCU had seized his house in Mutungo over failure to pay a Shs1.6 billion debt.
Mr Okot is said to have taken a loan from the bank in 2011 to finance a consignment of 2,000 tonnes of duty free sugar from India but has allegedly defaulted.
However, the MP claimed yesterday that the bank gave him a 15-year grace period to pay back and has instead turned around to breach the agreement.
“DFCU was part of the entire deal and they are aware of the losses that I incurred. Sugar was the collateral commodity. The money was to be offset from my bank account but the sugar arrived late and we sold it cheaply incurring a loss of Shs1.6billion,” he explained.
URA then reportedly asked the MP to pay 100percent tax on the transaction yet he had qualified for a duty free licence to import duty free sugar.
He is also accusing Rica Global Impex Ltd for the delay in supplying his sugar consignment past the 6 months tax free duration by government, leading to losses through VAT taxes and the consequent threat to his house.