Kampala University Fights Eco-Bank Takeover

1519 Views Kampala, Uganda

In short
The eviction woes arise from the tenancy agreement it entered into with the former Ministry of Public service Principal Accountant Christopher Obey to occupy his premises on plot 6-8 which now houses the university campus located at Ggaba lake side in Kampala.

Kampala University has rushed to Commercial Court seeking to block an anticipated eviction from its Kawuku-Ggaba premises by Eco-Bank.

The eviction woes arise from the tenancy agreement it entered into with the former Ministry of Public service Principal Accountant Christopher Obey to occupy his premises on plot 6-8 which now houses the university campus located at Ggaba lake side in Kampala.

According to the University's Vice - Chancellor Prof Badru Kateregga, in 2012, Obey mortgaged the said premises to Eco-Bank despite the prompt rent payments the University makes.

He adds that ever since Obey failed in his mortgage obligations amounting to over Ugx 1.2 billion, Eco-Bank has threatened to evict the University in order to recover the said money.

Kateregga now wants court to stop this eviction since it will damage the university's name and repute yet no amount of damages can be awarded by court to atone for it.

Obey is among the nine suspects accused of causing the government a loss of over Ugx 165 billion by creating 2,605 ghost pensioners and their eventual payment before the Anti-Corruption Court.

Justice David Wangutusi is yet to fix the case for hearing.