The Commercial Division of the High Court has okayed an appeal by City Business man Nathan Bisaso in the 5 billion debt case against Pastor Jackson Ssenyonga.
Through his lawyers Ssekidde Associated Advocates, Bisaso sued Pr. Ssenyonga and the wife Eva on 17th September 2017 in the High Court of Uganda at the Commercial division, seeking to recover a debt to the tune of Shs 5B arising out of breach of a contract.
After failing to reach an agreement in mediation presided over by Vincent Mugabo, the hearing commenced.
An agreement dated 8th September 2016 shows the mode of payment in which the two parties had agreed on. Bisaso claims the defendants took goods on credit since 2013 from his business at B.N. Enterprises along Nasser Road which gradually grew to Shs5.2 billion.
According to Bisaso, he supplied the goods to the defendants on credit and late payment for the goods carried interest of 10% per annum. The couple would pay 270M leaving an outstanding balance of 5b.
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“He gave me cheques and when I went to the bank, the accounts were inactive,” Bisaso said during the failed mediation.
Appearing in court, Pastor Ssenyonga said that he signed the contract at Katende Ssempebwa and Company Advocates under duress.
Though, under cross-examination by Mukiibi, Ssenyonga conceded that there was an outstanding debt from the money Bisaso loaned him and wife but argues that the contract is illegal.
According to lawyer Paul Mukiibi, the written document has the evidence that shows Pastor Ssenyonga really took the money and failed to pay.
On September 15, 2022, Justice Jeanne Rwakakooko ruled that Bisaso’s sh5b claim is based on illegal loan transactions. She, therefore, declared the agreement executed between Ssenyonga and Bisaso on June 2, 2014, and September 9, 2016, illegal, saying it was not enforceable.
Rwakakooko noted that Bisaso gained a lot of money from issuing loans at usurous interest rates without undertaking the required procedures under the law.
According to the judge, Ssenyonga produced evidence in court showing that he had paid sh2.4b to Bisaso. Subsequently, the judge said it was unfair for the pastor to pay the money when he had received sh1.4b from the businessman.
On October 4, 2022, Bisaso requested both typed and certified records of the proceedings and judgment to enable him to prepare and file a memorandum of appeal in the Court of Appeal. He since appealed and has won the appeal.
The allowance of his appeal means that Bisaso has another opportunity to present his case in court. If successful, this could lead to a court ruling that mandates the Ssenyonga’s to repay the outstanding debt, thus providing him with significant financial relief.
