The Commercial Court has dismissed an application by city architecture Peter Kamya in which he sought a temporary injunction stopping the sale or transfer of his property Simbamanyo house on Lumumba Avenue and Afrique Suits Hotel in Kampala.
The building was sold last year by Equity Bank to businessman Sudhir Ruparelia after Kamya failed to service a multibillion credit facility he got from the bank over 12 years ago.
Mr Sudhir rebranded the building Labour House.
While dismissing the application, Justice Stephen Mubiru in his April 12 ruling, held that it would not be prudent to temporarily stop Luwaluwa Investment and Meera Investment which belongs to Sudhir from selling or transferring Afrique Suits and Simbamanyo house, respectively.
“The applicants’ (Simbamanyo estates and Mr Peter Kamya) need for such protection must be weighed against the corresponding need of two respondents (Luwaluwa Investment and Meera Investment) to be protected against injury resulting from being prevented from exercising their own legal rights, for which they may not be adequately compensated in damages..,” Justice Mubiru held.
“I, therefore, find that the balance of convenience in favour of the respondents (Luwaluwa Investment and Meera Investment). In light of the forgoing, the order, if granted, would inflict greater hardship than it would avoid, hence the balance favours not granting the temporary injunction order. The application is accordingly dismissed,” he ruled.
Justice Mubiru noted that the consideration is that the two properties (Simbamanyo house and Afrique Suits), have since October 8, 2020 or thereabout, been transferred and are in the physical possession of Meera Investment and Luwaluwa Investments, respectively.
Mr Kamya had earlier sought the intervention of President Yoweri Museveni after he alleged that Mr Sudhir acquired the building having conspired with Equity Bank.
Museveni directed Bank of Uganda to investigate and report back in one week.
After finding the truth Museveni wrote to Kamya assuring him that he had defaulted on a loan even when he was allowed ample time to clear.
He advised him to pursue court path.