Kayongo jailed over sh60m debt

May 12, 2009

THE former Budo Junior head teacher, William Kayongo, was yesterday committed to Luzira Prison for failure to pay a debt of over sh60m.

By Godfrey Kimono and Edward Anyoli

THE former Budo Junior head teacher, William Kayongo, was yesterday committed to Luzira Prison for failure to pay a debt of over sh60m.

Nakawa Chief Magistrate Deo Nizeyimana committed Kayongo to civil prison after he failed to reach an agreement with his creditor, Haudar Gaundong Chinese Company.

The company argued that Kayongo had issued two cheques on January 30, 2009, which the bank dishonoured.

Kayongo, who was represented by his lawyer, Brian Sserunjogi, is supposed to serve six months in prison if he does not pay up.

The court also ordered the Chinese to pay sh2,000 as daily allowance for Kayongo’s subsistence while in jail.

Earlier in the day, Kayongo had been charged with fraud at the Buganda Road Court.

He was accussed of falsely obtaining a land title worth sh1b belonging to the family of the late Gregory Nabiriizi.

The land in dispute is located at Bunamwaya on Entebbe Road.

The complaint was brought against him by the five sons of the late Nabiriiri; Allan Sekamate, Asaph Male, Robert Kayongo, Arthur Kiraga, Andrew Nsereko and Alex Nsimbwa.

Kayongo denied the charge before Grade One Magistrate Geoffrey Sayekwo who had released him on a cash bail of sh500,000.

The prosecution said the family of the late Nabiriizi sold part of the land to Kayongo but he later transferred the whole land into his name.

He is alleged to have committed the offence in 2004.

Prosecutor Lillian Omara said after Kayongo transferred the land, he mortgaged it to Bank of Baroda.

There are two additional cases against him at the Commercial Court.

Bank of Baroda has sued Kayongo and two directors of Berkeley Secondary School for failing to pay a sh192m loan.

Kayongo is facing another suit from Barclays Bank of failing to pay a sh1.7b loan.

The directors secured the loan to support their private school in Bunamwaya.

The new charges come hardly a month since he was acquitted of charges of negligence, in connection with the fire that killed 20 pupils at Budo.

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