Muhakanizi summoned over Shs14 billion army debt

KAMPALA.

The Secretary to the Treasury has been given up to Wednesday next week to explain why government has not paid Shs14.8b court awarded to owners of lorries that were seized by the army and never returned.
This newspaper has seen a copy of the court summonses asking Mr Keith Muhakanizi to appear on May 14 to explain why he cannot be jailed for failure to execute the payment.
“You are hereby required to appear before the Head of the High Court Executions and Court Bailiffs Division on the 14th day of May 2018 at 10:00 in the fore/afternoon to show cause why you should not be committed to a civil prison in execution of the said decree/order,” the summonses read in part.
But Mr Muhakanizi did not appear as ordered and court gave a last adjournment of June 27.
In November 1996, Military Intelligence officers from the Ministry of Defence seized 10 commercial vehicles from two agencies and three individuals and converted them to the army’s use.
Goodman Agencies, Hassa Agencies, Emmanuel Hatangi Mbabazi, Felisi Leonidas and Janvier Busogi sued the Attorney General in the High Court in 1997, claiming compensation for the seized vehicles. The claimants won the case in 2005 and were awarded Shs14.48b as compensation for lost earnings and costs of the suit.
On September 2, 2005, then Attorney General, Khiddu Makubuya, and the claimants entered into a consent judgment for the sum of Shs14.48b and on September 6, 2005, the consent judgment was filed in court.
But Hassa Agencies was later knocked out by court after the Attorney General successfully challenged their merit to this case, leaving the four plaintiffs now demanding the money.
However, government kept on appealing against the ruling despite the consent agreement and lost.
Since 2014, when the Supreme Court quashed the Attorney General’s appeal and upheld the decisions of the lower courts, Mr Muhakanizi as Secretary to the Treasury has been promising to pay the money but in vain. He at one point claimed he had failed to pay the money because he was not sure of who and where to pay the money.
But Mr Muhakanizi was in January advised by the High Court Execution and Court Bailiffs Division to pay into the account of the registrar of the High Court within two weeks.
Mr Edward Kato Sekabanja, the lawyer for Emmanuel Hatangi Mbabazi, Felsesis Leonidas, and Janvier Busongi, said should Mr Muhakanizi appear and fail to convince court on whatever payment plan he has, the decision should be taken to send him to prison until the money is cleared by the government.
“It is his responsibility as Secretary to the Treasury to pay this money that is already under consent. He had last year promised to pay in instalments but nothing was paid to our clients. If he doesn’t appear this time, court will go ahead to issue warrant of arrest for Mr Muhakanizi,” Mr Sekabanja said.
When contacted, Mr Muhakanizi said he was aware of the debt government owes the claimants and said he will respect the courts order.
“What you are talking about is true and I received the summonses. I don’t intend to discuss much but I will respect court decision,” Mr Muhakanizi said by telephone.