DISMISSED: Court Dismisses Case Of Crane Bank Receivership, Awards Dr. Sudhir Hefty Costs

BY PATRICK JARAMOGI

KAMPALA, Uganda|SHIFTMEDIA|Bank of Uganda would suffer deep financial issues if it continues to liquidate assets of Crane Bank that are under receivership, senior lawyers have warned.

The warning by top financial lawyers follows an advert placed by the Central Bank yesterday that hinted on placing  Crane Bank under liquidation.

“Bank of Uganda (BoU) took over management of Crane Bank Ltd (CBL) on October 20, 2016, and subsequently progressed it into receivership on January 24, 2017. In exercise of its powers under section 99 (1) & (2) of the Financial Institutions Act, 2004, BoU has now placed CBL under liquidation and ordered the winding up of its affairs. The Central Bank shall be the liquidator of CBL,” said the Central Bank in a notice signed by Prof. Emmanuel Tumusiime-Mutebile.

Dr. Sudhir Wins Case

But as the Central Bank advertised, the Supreme Court slapped another dismissal arising from the Civil Application No. 33 of 2020 that arose from Civil Application No 7 of 2020 between Crane Bank Limited (In receivership), as the Applicants, and Sudhir Ruparelia and Uganda Registration Services Bureau as the Respondents.

The Supreme Court order judgement was made by Justice Paul Mugamba, in the presence of Joseph Byamugisha, and Albert Byamugisha for the Applicants, and Elison Karuhanga and Bruce Musinguzi for the first respondent and Allan Kakungulu for the 2nd Respondent.

Justice Mugamba dismissed the application with costs to the Respondents

Joseph Mukasa, a top city lawyer said the attempt to liquidate Crane Bank contravenes the Financial Intelligence Act,2015.