UGANDA, Kampala | Real Muloodi News | The High Court of Uganda has blocked the impending sale of the house belonging to former Kampala woman member of parliament Nabillah Naggayi Ssempala.
The house was used as security for an outstanding loan of USh800 million, which she owes to former presidential candidate, Professor Venansius Baryamureeba. The outstanding debt was disbursed in two instalments of USh400 million each.
The presiding judge in the matter, Justice Stephen Mubiru, blocked the sale of the house at the request of Prof Baryamureeba, until the pending case is concluded.
Prof Baryamureeba says he does not want a situation where the property that was used as security for the loan is sold to another party before he has recovered his money.
The contested property is located on Kyadondo Block 273 Plot 5 Katuso Close in Kampala.
“The property is reserved pending determination of this case. This will guarantee the property is not disposed of,” Justice Mubiru said.
The former MP, Nabillah Naggayi, told the court that she spent the USh850 million loan that she obtained from Prof Baryamureeba on resettling her family, including her husband, Mr Isaac Ssempala, who is in Canada
“I used the money to resettle my family in Canada. I used US$20,000 on tickets, then paid a lawyer US$5,000 and later retained the lawyer whom we gave in total $30,000 and part of the money was used on hotel bills,” Nabillah said.
She also explained that the second USh400 million loan was spent on buying a house in Canada and the house is registered in the name of her husband.
She admitted in court that she was unable to repay the loan since her husband had not settled in Canada.
“My husband was also not able to contribute to the repayment because the salary my husband was earning in Canada was little and could not sustain him and also have some sent to repay the second loan,” she said.
She also explained that she did not pay back the second loan because she had to remodel the Kampala house into three apartments, and when she had started to repay, with USh50 million, the Covid-19 lockdown affected rent rates.
In another revelation, Mr Ssempala allegedly claims that his wife was to borrow only USh50 million from a friend to pay off an earlier bank loan but she instead obtained USh800 million from Prof Baryamureeba without his knowledge.
Mr Ssempala, therefore, was seeking a court declaration that his wife illegally and unlawfully used his Kampala house as security for the loan.
Prof Baryamureeba was required to return the title to Mr Ssempala after the court ruled that it had no connection with the loan extended to Nabillah on grounds that it was not a mortgage, but the titles will be deposited in court as a matter of vigilance.
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