Ezrah Kashumbusha.
KAMPALA, February 15, 2024 | The Court of Appeal has ruled that City businessman Patrick Bitature and his wife, Carol Nzaro Bitature, are to face trial in connection with a loan they acquired from South African company Vantage Mezzanine Fund. The couple, who are directors of Elgon Terrace Limited and Simba Telecom, stand accused of fraudulently acquiring 360 billion shillings from the company.
Justice Hellen Obura, in her ruling on February 2nd, 2024, deemed Bitature’s application incompetent, stating, “Even if I had not found the application incomplete, I would still dismiss it for two reasons.” She noted that the application was overtaken by events, as the order sought to stay had already been executed by the Chief Magistrate. “The order has already been executed, and no other order of the High Court can issue an order to stay. I find this application incompetent and the substantive application from which it arises, incompetent,” said Obura.
Bitature had sought interim orders to halt the execution of a ruling and orders from the High Court, which directed Buganda Road Court Chief Magistrate Ronald Kayizi to issue criminal summons for him to appear in court on March 5th, 2024.
Vantage Mezzanine Fund and its lawyers brought forth fraud charges against Bitature and his wife under Section 309 of the Penal Code Act, alleging conspiracy and fraudulent means to affect market prices or defraud the public.
It is alleged that on December 11th, 2014, at Diamond Trust Building, Simba Properties Investment Company, owned by Bitature, borrowed 360 billion shillings from Vantage Mezzanine Fund pursuant to a written mezzanine facility agreement.
The decision by the Court of Appeal sets the stage for Bitature and his wife to face trial over these allegations, marking a significant development in the ongoing legal proceedings.
The case has garnered attention due to the prominence of Bitature in the business community, with many eagerly awaiting the outcome of the trial. As the legal process unfolds, stakeholders will be closely watching to see how the matter progresses through the judicial system.
