Africa-Press – Uganda. Standard Chartered Bank is on the spot after a logistics company lodged a lawsuit seeking payment of Shs2b accruing from storage services.
In an application filed on January 31 at Mukono High Court, Mr Fauzia Karmali, one of the directors of Liberty ICD Ltd, said their company was approached by lawyers from Ligormac Advocates on behalf of Standard Chartered Bank, requesting storage space for their trucks.
Liberty ICD is an inland port that deals with exports and imports, transport and logistics and provision of storage space.
How it started
Mr Karmali in his affidavit before court shows that Standard Chartered Bank entered into a loan agreement with Threeways Shipping Group, wherein, they mortgaged various properties as security for $7m (about sh27.7b) loan on June 10, 2015.
Upon failure to pay, Standard Chartered Bank commenced the recovery of proceedings. To that effect, the bank appointed Ligomarc Advocates to take over the recovery proceedings and find a buyer for the mortgaged property.
Ligomarc duly found a buyer who requested immediate vacant possession of the land.
“Standard Chartered Bank approached the applicant (Liberty ICD Ltd) company and requested to use its expansive storage space to store the various trucks and containers that were on the land belonging to Threeways Shipping Company,” reads in part the lawsuit.
According to court documents, the parties discussed payment terms for keeping the items at the company’s premises in Namanve Industrial Park, for three days (Between January 9, 2021 and January 11, 2022).
However, the company has kept the trucks and containers from January 9, 2021 to date, without receiving payment. Liberty ICD contends that the bank is running away from its responsibility.
According to the summary of evidence on the court record, Ligomarc was an agent of Standard Chartered Bank in the transactions and the bank is a necessary party for investigation.
“There is sufficient reason for adding Standard Chartered Bank as a party to the said suit,” reads in part the summary of evidence before the court.
The company seeks a court order, compelling Standard Chartered Bank to vacate the containers and trucks that are in its custody. Attempts to get a comment from the bank’s Legal and Company Secretary, Ms Stella Keshubi, were futile by press time.
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