KAMPALA, UGANDA – 3rd November 2023: As part of the Purchase of Assets and Assumption Agreement (P&A), dfcu Bank took over 48 leases, which housed 48 former Crane Bank Limited (CBL) branches in 2017. The leases were transferred to dfcu Bank upon payment of sufficient consideration and the relevant taxes.
Meera Investment Limited sued dfcu Bank and the Commissioner Land Registration challenging the transfer of the 48 leases by Bank of Uganda to dfcu Bank.
On 24th October 2023, the High Court of Uganda issued a judgement in which it ordered the commissioner land registration to cancel the transfer of the properties to dfcu Bank, and for the Bank to grant Meera Investment vacant possession of the suit properties within a period of three months from the date of the judgment.
The court ruling does not affect the Bank’s day-to-day operations since the branches in question were vacated in 2020.
dfcu Bank is also fully indemnified by Bank of Uganda under the P&A agreement.
The Bank remains strong and well-capitalized, meeting all the needs of its customers and fulfilling its purpose of transforming lives and businesses in Uganda.