The Supreme Court in Kampala has ordered Bank of Uganda (BOU) to pay dispute costs after losing yet again the case to the businessman Sudhir Ruparelia and his Meera Investments Ltd following its February 11th 2022 landmark ruling in the Crane Bank case.
A panel of three judges led by Justice Prof. Lillian Tibatemwa-Ekirikubinza in their Friday July 1 2022 ruling, unanimously dismissed with costs the latest appeal filed by Bank of Uganda against Dr. Sudhir and his real estate arm Meera Investments in which the bank regulator sought to overturn the decision by Court of Appeal in the February ruling.
The appeal is hereby dismissed with costs. The costs shall be borne by Bank of Uganda. The dismissal of the Appeal shall take effect from the date of this judgement being the 11th February 2022, Justice Tibatemwa stated in a notice read by the court Registrar at the Supreme Court.
The justices reasoned with the Court of Appeal that management of Crane Bank be returned to the shareholders including Sudhir Ruparelia and Meera Investments Limited since the receivership status had ended in 2018.
The Appellants receivership ended on 20th January 2018, and thereafter its management reverted to the shareholders, the court ruled.
Sudhir said that the Bank of Uganda stole his bank and they have to pay costs of suit right from the Commercial Bank to the Supreme Court while addressing journalists shortly after the ruling.
According to the ruling, DFCU will have to revert several assets and liabilities including 48 properties it obtained from CBL (then under BOU receivership) since they were deceived by former BoU officials Justine Bagyenda (executive director for supervision and Dr. Louise Kasekende, the former Deputy Governor-BoU.
DFCU Bank bought CBL in January 2017 for a paltry Shs200 billion paid in installments which was then the second biggest bank, and largest indigenous financial institutionalthough the central bank retained some of its liabilities.