Govt drops sh16b junk chopper suit
Jun 22, 2006
THE Government has abandoned a sh16b intended suit against the Consolidated Sales Corporation (CSC) and its directors Emmanuel Katto and Max Waterman.
THE Government has abandoned a sh16b intended suit against the Consolidated Sales Corporation (CSC) and its directors Emmanuel Katto and Max Waterman, reports Hillary Kiirya.
CSC is the intermediary company that supplied junk choppers to the Government in 1997.
The Government lost more than sh12.9b to the Kattos in the purchase of two junk MI-24 attack helicopters.
A source yesterday told The New Vision that the Government would not pursue the money because the cost involved in filing the suit, serving them and arguing it to competition would be costly.
“We need to look for lawyers to effect service on them. Besides, even after spending that money and the suit is determined in our favour, it would not be easy to recover this money because the company is not incorporated in Uganda.
“Enforcing a court order against them would not be easy. They don’t have assets here and we have also established that they do not have assets abroad. It would be a waste of taxpayers’ money to carry on with this suit,†the source said.
The report of the judicial commission of inquiry by Justice Julia Ssebutinde in 2003 implicated Katto and other people.
Katto was accordingly prosecuted before the Buganda Road Court for alleged corruption but was later acquitted for lack of evidence.
The Director of Public Prosecution had recommended that Katto be prosecuted for bribery.
CSC is the intermediary company that supplied junk choppers to the Government in 1997.
The Government lost more than sh12.9b to the Kattos in the purchase of two junk MI-24 attack helicopters.
A source yesterday told The New Vision that the Government would not pursue the money because the cost involved in filing the suit, serving them and arguing it to competition would be costly.
“We need to look for lawyers to effect service on them. Besides, even after spending that money and the suit is determined in our favour, it would not be easy to recover this money because the company is not incorporated in Uganda.
“Enforcing a court order against them would not be easy. They don’t have assets here and we have also established that they do not have assets abroad. It would be a waste of taxpayers’ money to carry on with this suit,†the source said.
The report of the judicial commission of inquiry by Justice Julia Ssebutinde in 2003 implicated Katto and other people.
Katto was accordingly prosecuted before the Buganda Road Court for alleged corruption but was later acquitted for lack of evidence.
The Director of Public Prosecution had recommended that Katto be prosecuted for bribery.