Court stops 2b/- Swipco
Nov 11, 2003
THE Commercial Court has blocked the Ministry of Justice from paying sh2.4b to the Swiss Procurement Company (SWIPCO) following a controversy over the distribution of the money.
By Jude Etyang
THE Commercial Court has blocked the Ministry of Justice from paying sh2.4b to the Swiss Procurement Company (SWIPCO) following a controversy over the distribution of the money.
The Bank of Uganda (BOU) released the money to the justice ministry on Friday to settle a court award which SWIPCO obtained after suing the Government for non-payment of services.
Former Nyabushozi MP Elly Karuhanga through his lawyer Oscar Kambona extracted the order stopping the payment on grounds that he was supposed to be paid 1.8b for services he rendered to SWIPCO.
The registrar of the court, Henrietta Wolayo, issued the order which paralysed the clearing of cheque 467234 drawn on BOU for SWIPCO.
The order has been served to BOU for implementation.
It has also been served to the Attorney General, the Secretary to the Treasury and to SWIPCO.
Karuhanga is asking court to order that the sh1.8b owed to him be paid to him directly from the central bank.
In June, the Commercial Court awarded Karuhanga sh1.8b in promotional, technical and legal services he offered to SWIPCO. Karuhanga’s application will be heard on Friday.
Last week Members of Parliament questioned the planned transfer of US$8m (sh14b) to the Ministry of Justice as payment to SWIPCO, without the authority of the House.
The economic adviser to the finance minister, Keith Muhakanizi, told the House that the ministry was implementing a court order to pay the money.
THE Commercial Court has blocked the Ministry of Justice from paying sh2.4b to the Swiss Procurement Company (SWIPCO) following a controversy over the distribution of the money.
The Bank of Uganda (BOU) released the money to the justice ministry on Friday to settle a court award which SWIPCO obtained after suing the Government for non-payment of services.
Former Nyabushozi MP Elly Karuhanga through his lawyer Oscar Kambona extracted the order stopping the payment on grounds that he was supposed to be paid 1.8b for services he rendered to SWIPCO.
The registrar of the court, Henrietta Wolayo, issued the order which paralysed the clearing of cheque 467234 drawn on BOU for SWIPCO.
The order has been served to BOU for implementation.
It has also been served to the Attorney General, the Secretary to the Treasury and to SWIPCO.
Karuhanga is asking court to order that the sh1.8b owed to him be paid to him directly from the central bank.
In June, the Commercial Court awarded Karuhanga sh1.8b in promotional, technical and legal services he offered to SWIPCO. Karuhanga’s application will be heard on Friday.
Last week Members of Parliament questioned the planned transfer of US$8m (sh14b) to the Ministry of Justice as payment to SWIPCO, without the authority of the House.
The economic adviser to the finance minister, Keith Muhakanizi, told the House that the ministry was implementing a court order to pay the money.