By our reporter
The closure of Crane Bank saw Dfcu bank artificially become the third biggest bank after acquiring branches from the then fastest growing financial institution in the country.
Now, Dfcu is in dilemma as Meera Investments which owned the properties in which Crane Bank operates, wants its assets back.
Meet Investments has dragged Dfcu Bank to the Land Division of the High Court, seeking to reclaim its 46 branches, accusing Dfcu bank of trespass and asked court to force them to leave immediately. The property firm says that the property were occupied illegally with the aid of Commissioner land registration.
If Meera Investments, part of businessman Sudhir Ruparelia’s Business Empire, wins this case, it will mean Dfcu has to readjust its operations, and possibly shrink back to its former presence.
Meera Investments has asked the high court that all its 46 buildings occupied presently by Dfcu be returned to them.
Dfcu Bank has been sued alongside the Commissioner of land registration.
Meera Investment states in its suit that Dfcu Bank needed its prior consent to occupy their buildings which were formerly occupied by Crane Bank.
Meera contends that the Commissioner land registration connived with Dfcu Bank to transfer the leases of the 46 properties into the latter’s names without the written prior consent of the bonafide owner of the property which meant the deal was null and void.
Meera Investments, which is one of the entities owned by business tycoon, Sudhir Ruparelia, wants court to declare that the continued presence of Dfcu Bank on its properties, amounts to trespass and that they should be ordered to vacate with immediate effect.*
Turning to the commissioner land registration, Meera Investments wants court to direct them to immediately cancel out Dfcu Bank as being the right full owner of those suit properties and reinstate them as the rightful owners.
Bank of Uganda (BoU) took over the management of then Crane Bank, in October 2016 before it was sold to Dfcu at undisclosed figure. The battle to reveal the cost Crane Bank was sold, is also in court.
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