Hamis Kigundu has won a commercial court case against a diamond trust bank on Wednesday afternoon.
Ham is the proprietor of Ham enterprises and Kiggs International (U) limited dragged DTB -Uganda, and DTB-Kenya to Commercial Court for illegally draining over sh120billion from his accounts without his knowledge and consent.
Kigundu also said the bank held his documents, according to court documents, Kiggundu provided security/mortgage comprised in Plot no.923, Block 9 located at Makerere Hill Road to support loans he had obtained from DTB.
Kigundu squabbled that when he took an audit and reconciliation of the loan accounts, he found out that the DTB had taken shs34 billion and $23 million from his account.
Through his lawyers led by Fred Mwema, Kiggundu argued that DTB Uganda acted illegally when they let the Kenya offices transact in
Uganda yet they are not licensed to carry out financial services in Uganda.
In its defense, DTB noted that Kigundu used his two companies to get loans from them and provided even provided property as securities.
The bank argued that the agreements entered into between the parties are legally binding and enforceable under the law and that the deductions and charges made against his accounts were in accordance with the credit facilities issued to them.
However on Wednesday afternoon, the court presided over by the trial judge, Henry Peter Adonyo, ruled in favor of Kigundu and ordered the DTB grant him 120 billion shillings in compensation.
Speaking outside the court lawyer Mwema said the court agreed that the defense indeed acted illegally by draining money from his client’s accounts without his consent.
He said this should serve as a litmus test for other banks that are in the same practice of exploiting clients.