Business
Police cautions importers on impounding vehicles
Publish Date: Jul 25, 2014
Police cautions importers on impounding vehicles
Kampala Metropolitan police commander Felix Kaweesi.
  • mail
  • img
newvision

By Steven Candia

POLICE has issued a directive barring vehicle importers from impounding cars sold to third parties by their agents on grounds that there is an outstanding balance. The police also ordered the importers to desist from using Kanyama’s in impounding such vehicles.

“If at all you are to impound it should be after seeking a clear court order and that order should be executed by genuine court bailiffs,” Kampala police boss Felix Kaweesi said on Thursday at a meeting between the police and vehicle importers and dealers. 

The move police said is aimed at curbing a fraud racket where vehicle importers use agents (brokers) to sell vehicles to members of public from whom they later impound the vehicles for small amounts even where the substantial amount has been paid and an agreement entered between the client and the broker, thereby occasioning injustice.

“In many cases even where the full amount has been paid the broker does not submit or declare the whole amount paid by the client yet the log book remains with the importer,” Kaweesi said.

“These cases are rampant and it must stop. This system must be abandoned because you are cheating the public. I do not want to see anyone using an unauthorized people to clamp or impound people cars. If you are to impound it should be after court has issued an order which must be executed by genuine bailiffs,” a stern looking Kaweesi said at the meeting held at the Katwe police station.

In attendance were all the regional police commanders of Kampala, their regional criminal investigations department (CID) counter parts and divisional police commanders (DPCs). Kaweesi said in such circumstances it was wrong for the importers to go for the clients instead of the brokers. 

He singled out Trust Dealers and Kingsway who he said were notorious for this and acting through their agent Godfrey Mwesigwa (popularly known as Kabalega) who he said has defrauded lots of buyers. Mwesigwa is the owner of Kabalega motors.

“I think he has defrauded people to the tune of over sh700m,” Kaweesi said. Osman Yusuf, the operation manager Trust Dealers acknowledged that they had been suing Kabalega but said he was surprised when the complaints started popping up.

‘We have worked with him for more than seven years but were shocked when these complaints started emerging,” he said that they had tried chart a way of resolving them. 

Many people whose vehicles had been impounded in similar manner raised issues with Kabalega prompting Kaweesi to hand him over to Kampala CID boss Rebecca Namugenyi. 

Kaweesi also directed that all car importers and owners of car depots to profile and accredit brokers who operate in the depots.

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
Women conference to address business networking challenges
The conference, which opens on Thursday, will focus on devising means of confronting key challenges that hinder women from fully exploiting their potential....
Apple market value hits $700 bn
A rise in Apple shares Tuesday pushed the market value of the trend-setting US tech icon above $700 billion, becoming the first company to hit that milestone....
82 Ugandan companies enter EAC market
Eighty-two new small to medium Ugandan companies have managed to break into the East African market since 2009, according to the Uganda Exports Promotions Board (UEPB)....
Merck buys rights to NewLink
US drugmaker Merck has bought the rights to an experimental Ebola vaccine being developed by NewLink Genetics, the companies have said....
MTN tops most admired, valuable African Brand
MTN has again topped the Brand Africa 100® list as the most admired and most valuable African Brand. At over $5.4b, MTN is the only African brand valued over a billion dollars....
17 business personalities awarded American honorary doctorates
A group of 17 personalities with footprints in business and humanitarian circles, have been awarded honorary philosophy doctorates in humanities by an American institution, for positive transformation of society....
Should Govt lease parts of Lake Victoria to private developers?
Its Ok
No Way
Not Sure
follow us
subscribe to our news letter