Firm Ordered To Refund UGX6.8b Over UMSC Construction

1889 Views Kampala, Uganda

In short
Justice Henry Peter Adonyo ruled that the money paid to Concorp was wrongly paid, and that it should be paid back to government.

The Commercial Court has ordered a construction company, Concorp to refund 6.8 billion shillings that it was paid wrongly in excess by government, following a protracted commercial dispute it had with the Uganda Muslim Supreme Council.

The dispute arose over an alleged breach of contract to construct the National Mosque at Old Kampala.

Presiding judge Henry Peter Adonyo in his verdict justified the order for the refund of the money in question.

The judge said it was clear that the company was paid in excess of USD 2 million (about Shillings 6.8 billion) by the government on a wrong basis that the money was owed to it by Uganda Muslim Supreme Council.

"I accordingly direct that Concorp refunds 6.8 billion shillings to the government, which was paid to it in excess of the contract amount for the benefit of the UMSC," ruled justice Adonyo.

The construction company was also ordered to pay costs that UMSC used in defending this case for the last 14 years. The costs are yet to be calculated and paid.

This long protracted legal battle started 14 years ago when Concorp dragged UMSC to court for alleged breach of contract to construct the national mosque.