Africa-Press – Uganda. A businessman involved in the supply of medical oxygen has sued Paramount Hospital in Kampala over failure to pay for supplied gas cylinders amounting to Shs27.9m. In a case filed before the Commercial Division of the High Court, Mr Akram Lwanga, a medical oxygen supplier, accuses Paramount Hospital and a one Dr Rogers Kategaya of refusing to clear for supplied gas cylinders, despite several reminders thus causing financial loss and distress.
Acting through Mugisha and Company Advocates, Mr Lwanga claims that the duo severally breached a verbal contract in which they had agreed to use his services for the supply of 20 medical gas cylinders, before they were increased to 27 on various dates during June. According to documents filed before court, sometime in June, at the height of the Covid-19 pandemic, Paramount Hospital, through Dr Kategaya and Mr Lwanga, the supplier, entered into averbal agreement to supply medical gas cylinders to boost the hospital’s emergency capacity as well enable it to respond to Covid-19-related emergencies. The verbal contract had initially required Mr Lwanga to deliver 20 gas cylinder each at a cost of Shs10,000 per day, which would bring the total sum to Shs200,000 per day. The deliveries were done, according to court documents for a period of one week, before Dr Kategaya, on June 9, contacted Mr Lwanga to increase the number by seven cylinders. Mr Lwanga, through his contacts, secured more cylinders, which, according to court documents brought the daily charge to Shs270,000. The cylinders, court documents indicate were delivered for several days hitting Shs27.9m as the outstanding due. However, Mr Lwanga claims Paramount only cleared money for the 20 cylinders that were delivered between June 2 and 9 and has since refused to pay for supplies worth Shs27.9m despite several reminders.
Therefore, Mr Lwanga wants court to enter judgement against Paramount Hospital and Dr Kategaya with a declaration that they breached a contract, an order to pay Shs27.9m as outstanding, general damages and interest on special damages, among others.
The case
Somewhere in June, court documents indicate, Paramount Hospital, acting through Dr Rogers Kategaya contracted Mr Mr Akram Lwanga for the supply of 20 medical gas cylinders before they were increased to 27. Part of the money was paid but an outstanding of Shs27.9m is yet to be cleared.
