Simbamanyo house which has been acquired by tycoon Sudhir Ruparelia. Simbamanyo Estates Limited have withdrawn their application in which they were seeking to stop the takeover of its property on Lumumba Avenue. They had petitioned the Court of Appeal seeking orders to maintain the status quo stopping the sale of their property by Equity Bank which is seeking to recover loans worth $10.8 million (Shs40 billion).
On August 20, 2012, Equity Bank granted Simbamanyo a loan of $6m (about sh21.6b). The loan was to finance the construction of a hotel at Mutungo, a Kampala suburb, and to take over a prior facility from Shelter Afrique.
They were also seeking to halt a High Court order that required them to pay 30 per cent of the outstanding loan totaling Shs12 billion.
When the matter came up for hearing before Justice Christopher Madrama, Simbamanyo Estates lawyer Robert Friday Kagoro, asked the court to allow withdrawal of the case reasoning that it has been overtaken by events.
However, Equity Bank lawyers; Sim Katende and Frederick Mpanga asked the court to order Simbamanyo Estates to pay the legal costs incurred by the bank.
Last Thursday, Equity Bank sold Simbamanyo House on Lumumba Avenue to Meera Investments at $5m (sh18.5b) to Meera Investments Limited owned by businessman Sudhir Ruparelia.
“All tenants were put on notice of the said auction via an advert in the Daily Monitor newspaper dated September 8,” reads the notice signed by the bank’s Managing Director, Sam Kirubi in a notice dated October 8th 2020.
“We trust you will accord the new owners all courtesy and all future rental payments and other tenant inquiries and obligations will be handled by Meera Investments Limited or their agents,” the notice further read.
Simbamanyo Estates, through their lawyers of Muwema and Co. Advocates, insist that they appealed against the payment of 30 per cent which was being claimed by the bank, and that the appeal is yet to be fixed for hearing.
Court documents indicate that upon issuance of the High Court order on September 7, the bank advertised their property, and were meant to and finally sold on October 8.
“There is an imminent threat and danger that the applicant’s said properties will be sold off and thereby prejudice the pending appeal unless the respondents are restrained,” reads part of the court document. How it started Court documents indicate that on August 20, 2012, Equity Bank granted Simbamanyo a loan of $6m (about […]
