The Co-operative Bank Ltd v Mwase Heron (HCT-00-CC-OS 20 of 2006) [2006] UGCommC 60 (21 September 2006)

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\widowctrl\ftnbj\aenddoc\noxlattoyen\expshrtn\noultrlspc\dntblnsbdb\nospaceforul\formshade\horzdoc\dgmargin\dghspace180\dgvspace180\dghorigin1800\dgvorigin1440\dghshow1\dgvshow1 \jexpand\viewkind1\viewscale100\pgbrdrhead\pgbrdrfoot\splytwnine\ftnlytwnine\htmautsp\nolnhtadjtbl\useltbaln\alntblind\lytcalctblwd\lyttblrtgr\lnbrkrule\nobrkwrptbl\snaptogridincell\allowfieldendsel\wrppunct \asianbrkrule\rsidroot6906184\newtblstyruls\nogrowautofit \fet0{\*\ftnsep \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\insrsid6894898 \chftnsep \par }}{\*\ftnsepc \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\insrsid6894898 \chftnsepc \par }}{\*\aftnsep \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\insrsid6894898 \chftnsep \par }}{\*\aftnsepc \pard\plain \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\insrsid6894898 \chftnsepc \par }}\sectd \linex0\headery708\footery708\colsx708\endnhere\sectlinegrid360\sectdefaultcl\sftnbj {\footer \pard\plain \s15\ql \li0\ri0\widctlpar \tqc\tx4320\tqr\tx8640\pvpara\phmrg\posxc\posy0\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid7013745 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\field{\*\fldinst {\cs16\insrsid226073 PAGE }}{\fldrslt { \cs16\lang1024\langfe1024\noproof\insrsid16137175 1}}}{\cs16\insrsid226073 \par }\pard \s15\ql \li0\ri0\widctlpar\tqc\tx4320\tqr\tx8640\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 {\insrsid226073 \par }}{\*\pnseclvl1\pnucrm\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl2\pnucltr\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl3\pndec\pnstart1\pnindent720\pnhang {\pntxta .}}{\*\pnseclvl4\pnlcltr\pnstart1\pnindent720\pnhang {\pntxta )}} {\*\pnseclvl5\pndec\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl6\pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl7\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl8 \pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl9\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}\pard\plain \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 \fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\insrsid6906184\charrsid4614281 THE REPUBLIC OF UGANDA \par IN THE HIGH COURT OF UGANDA AT KAMPALA \par COMMERCIAL COURT DIVISION \par \par HCT-00-CC-OS-0020 OF 2006 \par \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8613619 {\insrsid6906184\charrsid4614281 THE COOP}{\insrsid8613619 BANK LTD \'85\'85\'85\'85\'85\'85\'85\'85\'85..\'85\'85\'85\'85\'85.}{ \insrsid6906184\charrsid4614281 APPLICANT/PLAINTIFF \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 \par VERSUS \par \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid8613619 MWASE HERON \'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85\'85}{\insrsid6906184\charrsid4614281 . RESPONDENT/DEFENDANT }{\insrsid8613619 \par }{\b\i\ul\insrsid8613619 Legislation referred to: \par {\listtext\pard\plain\i\lang1033\langfe1033\langnp1033\langfenp1033\insrsid8613619\charrsid8613619 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \ql \fi-360\li900\ri0\sl360\slmult1\widctlpar \jclisttab\tx900\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin900\itap0\pararsid8613619 {\i\insrsid8613619\charrsid8613619 Mortgage Act, Cap 229}{\i\insrsid6906184 \par {\listtext\pard\plain\i\lang1033\langfe1033\langnp1033\langfenp1033\insrsid8613619\charrsid8613619 \hich\af0\dbch\af0\loch\f0 2.\tab}}{\i\insrsid8613619\charrsid8613619 Civil Procedure Rules \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 \par \par BEFORE: HON. MR. JUSTICE LAMECK N. MUKASA \par \par RULING: \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 This application is brought by Originating Summons under sections 7 and 8 of the Mortgage Act, Cap 229 and Order 34 rule 3A and 7 (now Order 37 rule 4 and 8) of the Civil Procedure Rules by the Cooperative Bank Ltd }{\insrsid13653258\charrsid4614281 (in liquidation) }{\insrsid6906184\charrsid4614281 seeking for order that: \par \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid6906184\charrsid4614281 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \qj \fi-360\li720\ri0\sl360\slmult1\widctlpar \jclisttab\tx720\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin720\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 An order for fore closure of the defendant}{\insrsid2368904\charrsid4614281 \rquote }{\insrsid6906184\charrsid4614281 s equity of redemption of the mortgage property. \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid6906184\charrsid4614281 \hich\af0\dbch\af0\loch\f0 2.\tab}An order that the mortgaged property be offered for sale and sol}{\insrsid13653258\charrsid4614281 d}{ \insrsid6906184\charrsid4614281 by the mortgagee. \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid6906184\charrsid4614281 \hich\af0\dbch\af0\loch\f0 3.\tab}Further and other relief Court may deem fit, just and reasonable. \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid6906184\charrsid4614281 \hich\af0\dbch\af0\loch\f0 4.\tab}Costs of the suit. \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 \par }{\insrsid13653258\charrsid4614281 The application}{\insrsid6906184\charrsid4614281 is supported by an affidavit sworn by Ben Ssekabira the Bank of Uganda Coordinator of the Cooperative Bank Ltd (in liquidation). T he facts as I have gathered from the said affidavit are that on 7}{\super\insrsid6906184\charrsid4614281 th}{\insrsid6906184\charrsid4614281 }{\insrsid2368904\charrsid4614281 August 1995 }{\insrsid4614281\charrsid4614281 the Applicant}{ \insrsid6906184\charrsid4614281 Bank advanced the Respondent Credit facilitates }{\insrsid4614281\charrsid4614281 by way}{\insrsid6906184\charrsid4614281 of overdraft on security of land comprised i}{\insrsid2368904\charrsid4614281 n LRV 944 Block 190 Plot 209 Nabweli Mukono. As of 30}{\super\insrsid2368904\charrsid4614281 th}{\insrsid2368904\charrsid4614281 November }{\insrsid13118885\charrsid4614281 2005 the}{\insrsid2368904\charrsid4614281 Respondent\rquote s indebtedness of both the principal and interest stood at Shs21}{\insrsid4614281\charrsid4614281 , 365,397}{\insrsid2368904\charrsid4614281 and continues to attract interest at the rate of 21% until the }{\insrsid4614281\charrsid4614281 entire debt}{ \insrsid2368904\charrsid4614281 is fully realized. The Respondent has failed to pay and the Applicant contends that it is entitled to realise and enforce the security under the mortgage by fore-closure and sale of the property to recover the monies due. }{\insrsid6906184\charrsid4614281 \par }{\insrsid2368904\charrsid4614281 \par I have carefully considered the above facts and I find that this is an appropriate case where Originating Summons should be issued and I accordingly so order. Let the Originating Summons issue for hearing on a date to be fixed by the Registry. \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid2368904\charrsid4614281 \par \par \par \par \par \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid2368904\charrsid4614281 Hon. Mr. Lameck N. Mukasa \par Judge \par 22}{\super\insrsid2368904\charrsid4614281 nd}{\insrsid2368904\charrsid4614281 September 2006 \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid2368904\charrsid4614281 \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4614281 {\insrsid6906184\charrsid4614281 \par }}