Court orders Sheikh Kakeeto to pay sh137.5m debt

Sep 25, 2020

The registrar, Lillian Buchyana, made the directive after Kakeeto failed to submit in court a written statement of defence in regard to the allegations.

COURT|FRAUD|DEBT 

The Commercial Court has ordered a Muslim cleric, Sheik Suleiman Kakeeto, of the Amir Daulah Muslim group, to pay sh137.5m debt, which he owes three people.

Court documents indicate that Christopher Matovu, Sulaiman Kaweesa and Mastula Nagayi had given the money to Kakeeto to purchase a Canter Mitsubishi 2009 model truck but he did not.

The registrar, Lillian Buchyana, made the directive after Kakeeto failed to submit in court a written statement of defence in regard to the allegations.

"Judgement is entered as prayed because there is no written statement of defence on record," she ruled.

The registrar had directed Kakeeto to file a defence in regard to the allegations within 10 days, lest rules in favour of the plaintiffs.

The plaintiffs, who complained that Kakeeto has opted not to file an application for leave to appear and defend himself, prompted the order.

"We pray that judgement be entered against the defendant in the sum of sh137.5m at an interest rate of 15% from the date of breach and costs of the suit," Baraka Legal Associated Advocates, representing the plaintiffs, requested.

The plaintiffs say on January 16, 2019, they advanced sh137.5m to Kakeeto to purchase for them a truck but he did not do so, despite several reminders.

In a Memorandum of Understanding (MoU) dated January 31, 2019, and seen by the New Vision, it was agreed that Kakeeto remits back the money to the plaintiffs.

According to the MoU, the money was supposed to be remitted in three installments, namely, sh50m before January 20, 2020, sh40m before February 25, 2020 and sh47.5m before March 10, 2020.

The plaintiffs, however, say, failure by Kakeeto to pay the money prompted them to seek legal redress in order to recover it.

The plaintiffs contend that Kakeeto's action has caused them financial loss, inconvenience, and anguish.

Allan Kakeeto, a court process server, attached to the Commercial Court, said on February 19, 2020, he went to Kakeeto's home at Kabowa opposite 4D Motel and handed over the summons to a lady identified as Raham.

"She read through the court documents and thereafter informed me that Kakeeto was not at home. She then received the documents on Kakeeto's behalf," Allan said.

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