Majority shareholders summoned over National Bank of ComAmerce’s legality
Oct 24, 2010
THE Commercial Court has summoned the three majority shareholders of the National Bank of Commerce (NBC) and the Attorney General to file their defence over the bank’s legality.
By Andante Okanya
THE Commercial Court has summoned the three majority shareholders of the National Bank of Commerce (NBC) and the Attorney General to file their defence over the bank’s legality.
They are local businessman Amos Nzeyi, security minister Amama Mbabazi and Ruhakana Rugunda, Uganda’s permanent representative to the United Nations.
The case arose in July when retired judge George Kanyeihamba and 320 other shareholders of the then Kigezi Bank of Commerce said the bank’s name was “fraudulently changed†without their authorisation.
The bank was jointly founded in 1991 by the accused, together with Kanyeihamba and Amos Bakaine, to provide banking services and soft loans to people in Kigezi.
In the plaint, the aggrieved shareholders accuse the defendants of transferring to NBC the “property, assets and intellectual knowledge†of Kigezi Bank.
They further contend that several other provisions, including the subscription class of share holders, were altered to realise the defendants’ “selfish interestsâ€.
The aggrieved want court to declare that NBC is illegal, and compel the registrar of companies to de-register it and reinstate Kigezi Bank.
They also want court to order that Kigezi Bank reposess the properties currently in possession of NBC, and make the defendants liable for the losses incurred by the complainants.
In October last year, the Abu Dhabi Group representative and current chairman of the bank announced that they had injected $10m (about sh20b) into the bank to capitalise it.
THE Commercial Court has summoned the three majority shareholders of the National Bank of Commerce (NBC) and the Attorney General to file their defence over the bank’s legality.
They are local businessman Amos Nzeyi, security minister Amama Mbabazi and Ruhakana Rugunda, Uganda’s permanent representative to the United Nations.
The case arose in July when retired judge George Kanyeihamba and 320 other shareholders of the then Kigezi Bank of Commerce said the bank’s name was “fraudulently changed†without their authorisation.
The bank was jointly founded in 1991 by the accused, together with Kanyeihamba and Amos Bakaine, to provide banking services and soft loans to people in Kigezi.
In the plaint, the aggrieved shareholders accuse the defendants of transferring to NBC the “property, assets and intellectual knowledge†of Kigezi Bank.
They further contend that several other provisions, including the subscription class of share holders, were altered to realise the defendants’ “selfish interestsâ€.
The aggrieved want court to declare that NBC is illegal, and compel the registrar of companies to de-register it and reinstate Kigezi Bank.
They also want court to order that Kigezi Bank reposess the properties currently in possession of NBC, and make the defendants liable for the losses incurred by the complainants.
In October last year, the Abu Dhabi Group representative and current chairman of the bank announced that they had injected $10m (about sh20b) into the bank to capitalise it.