Prime
Shumuk properties put on sale
Mukesh Shukla (L), the Shumuk Investments director, cosults after a court session in Makindye recently. He says he is not aware of how much he owes dfcu Bank. FILE PHOTO
What you need to know:
- Properties on sale. The properties include two storied residential units in Buye, Ntinda, three warehouse units in Banda, Kampala, an office block in Ntinda and an undeveloped piece of land in Ntinda.
Kampala.
Seven Shumuk properties have been put on sale over failure to pay a dfcu debt obligation estimated to be in the excess of Shs10b.
In a notice published at the weekend seven properties, including two storied residential units in Buye, Ntinda, three warehouse units in Banda, Kampala, an office block in Ntinda and an undeveloped piece of land in Ntinda will be sold within 30 days unless Shumuk Investments fully pays the debt.
“We shall proceed to sell the under mentioned properties after the expiry of 30 days,” the notice reads in part.
Mr Isaac Mpanga, the dfcu legal representative from MMAKS Advocates, told Daily Mohnitor in a telephone interview at the weekend that their client had explored all options and was only left with selling the said properties to recover the debt due to Shumuk.
“Shumuk have failed to pay [the debt] despite several reminders and going through all the usual procedure for the last nine months,” he said.
However, Mr Mpanga decline to confirm how much Shumuk owes dfcu insisting he was barred by client confidentiality.
Contacted for a comment, Mr Mukesh Shukla, the Shumuk Investments director, told Daily Monitor he was not aware of how much the company owes the bank.
“I don’t know yet. Let me find out and I will talk to you with details next week [this week],” he said.
The intended sale comes at a time when a number of companies are struggling to repay loan obligations that has seen a spike in non-performing loans.
Long court battle
Shumuk has had a long running property battle with the late Bonny Katatumba, involving a number of prime properties – Blacklines House in Kampala and Hotel Diplomat in Muyenga, Kampala - among others.
However, in November last year court deaclared that Shumuk had no claim on Katatumba’s property.
The company had claimed that it had in 2008 bought the properties, a claim which Katatumba rejected, culminating in a long court battle spanning more than 10 years.
Shumuk was established in 1998, after acquiring East Africa Aluminium Works in 1992.
The company is engaged in a number of activities including hospitality, manaffacturing, hospitality and real estate, anmong others.
