Caveat off NHI stands

ORDERS by the High Court’s commercial division recently lifting the caveat off Nile Hotel International (NHI) still stand.

By Hillary Nsambu

ORDERS by the High Court’s commercial division recently lifting the caveat off Nile Hotel International (NHI) still stand.

This followed submissions by NHI’s lawyer Timothy Masembe arguing that the interim order stopping the removal of the caveat on the hotel could only be granted by the trial judge, who made the orders to remove it.

The Deputy Registrar of the Commercial Court, John Baptist Seggiriinya, said the orders he made on October 10 placing back the caveat by Tahar Fourati Hotels International had been erroneously issued and in confusion of the issues.

Seggiriinya said the interim reinstating the caveat was issued without informing the head of the commercial court, Justice James Ogoola.

Charles Odere one of Tahar Fourati’s lawyers on October 10 obtained the interim orders placing back the caveat on NHI.

“I have sought directions from Justice James Ogoola confirming the lifting of the caveat of Nile Hotel,” Seggiriinya said.

He said the decision by Fourati’s counsel not to attend proceedings before him when was in Court on October 13, meant that the lawyers had forfeited the right to be heard that ‘s why they accepted the matter to proceed exparte.

On October 9, Justice E.S.Lugayizi lifted a stop-sale, which the Tahar had lodged on NHI demanding payment of US$3m (about sh6bn) from Government, for allegedly terminating their contract.