Crane Bank (in Receivership) intends to appeal against the whole of the decision given by Hon. Justice David Wangutusi on August 26, 2019, as per Notice of Appeal Application 320 of 2019 filed in the High Court today, a statement issued by the Bank of Uganda (BoU) says.
The High Court Judge Hon. Justice Wangutusi on Monday August 26, 2019 decided that Crane Bank (in Receivership) did not have any jurisdiction to file Civil Suit No. 493 of 2017 against property mogul Sudhir Ruparelia and Meera Investments Limited, and therefore dismissed the suit.
“Crane Bank (in Receivership) is dissatisfied with the decision of the Hon. Justice Wangutusi, and has served a copy of the Notice of Appeal to Kampala Associated Advocates, the legal representatives of Mr. Sudhir Ruparelia and Meera Investments Limited,” the statement reads in part.
On June 30, 2017, Crane Bank Limited (in Receivership) took Sudhir Ruparelia and his Meera Investments Ltd to court for allegedly causing financial loss amounting to Shs397 billion to Crane Bank in fraudulent transactions and land title transfers.
Crane Bank (in receivership) in its Civil Suit No. 493 of 2017 sought High Court to compel Ruparelia to pay back the US$80,000,000, US$9,270,172.00, US $ 3,560,000.00, US$990,000.00 and Shs52,083,995.00 as compensation for breach of fiduciary duty.
“While Hon. Justice Wangutusi dismissed the UGX397 billion case against Mr. Ruperalia on a technicality, alleging that Crane Bank (in Receivership) lost its powers to “sue” and to “be sued”, thus rendering its suit a nullity, Crane Bank (in Receivership) maintains that receivership is a management situation, and hence no legal change as to capacity of a company to sue and be sued. Bank of Uganda would like to reassure the public that it is committed to pursuing this matter to its logical conclusion,” reads a statement issued by Charity Mugumya, the Director Communications at BoU.
