Commercial Court allows businessman to defend sh1.8b suit

 ________________ 

The Commercial Division of the Court has granted leave to a businessman, Edwin Baruma Twinomuhwezi, to defend a civil suit in which he is being sued for $480,000 (about sh1.87 billion).

Justice Patience Rubagumya issued the order after Twinomuhwezi applied to court seeking permission to file his written defence out of time.

The businessman told court that he was unable to file his defence within the required time because he was hospitalised at the time.

He argued that he was admitted at Focus on Recovery Health Facility, where he was undergoing treatment and management, and was discharged on March 6, 2026.

In her ruling delivered on April 30, 2026, Justice Rubagumya granted him unconditional leave to appear and defend the suit, allowing the matter to proceed.

Twinomuhwezi is being sued by Ellis Biryahwaho, from whom he reportedly borrowed money to enhance his business.

“The applicant shall file and serve his written statement of defence within fifteen days from the date of this ruling. The respondent shall file and serve his reply to the written statement of defence within fifteen days from the date of service of the written statement of defence,” Rubagumya said.

He contends that he has never entered into any loan agreement as an individual with Biryahwaho and that he is not indebted to him. He further argues that he never appointed anyone to receive the money on his behalf.

On his part, Biryahwaho also argued that Twinomuhwezi was a party to the loan agreement.

According to documents filed in court, a loan agreement dated September 12, 2019, shows that the respondent advanced an interest-free loan of $360,000 (about sh1.4 billion) to DI International Limited, a company Twinomuhwezi is allegedly privy to.

Biryahwaho noted that under the signature block, Twinomuhwezi signed and executed the agreement on behalf of DI International Limited.

The respondent (Biryahwaho) added that in addition to the $360,000 (about sh1.4 billion), the applicant was further advanced $100,000 (about sh390 million) and $20,000 (about sh78 million), bringing the total to $480,000 (about sh1.87 billion).

It was contended that although the loan was issued to DI International Limited, the applicant’s involvement as a director does not absolve him of liability to repay the money.