THE REPUBLIC OF UGANDA

IN THE HIGH COURT OF UGANDA AT MUKONO

(LAND DIVISION)
CIVIL SUIT NO. 31 OF 2024

KASOZI LUCY NAUME NAKKAZI

(Through her lawful attorney
NANKYA VICTORIA
KASOZI) :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: PLAINTIFF
VERSUS
1. EQUITY BANK UGANDA LTD
2. TAMASK DEVELOPMENT LINK (U) LIMITED
3. COMMISSIONER LAND REGISTRATION :::::::::::::::::::::::::
DEFENDANTS

2ND DEFENDANT’S WRITTEN STATEMENT OF DEFENCE

1. SAVE where expressly admitted, the 2 nd Defendant denies each and every
allegations contained in the Plaint as if the same were set forth verbatim and
denied seriatim.

2. Paragraph 3 of the Plaint is admitted in so far as the 2 nd Defendant is a

corporate entity, and the 2nd Defendant adds that it is a money lending company
and its address of service for purposes of this suit shall be M/s Artis
Advocates, 3rd Floor, Suite 06, Metropole House, Plot 8-10 Entebbe Road,
P.O. Box 140893, Kampala.

3. The 2nd Defendant denies in toto the claims in the Plaint and the Plaintiff shall
be put to strict proof thereof.

4. Paragraph 5 of the Plaint is denied, the 2nd Defendant denies that the Plaintiff is
entitled to any of the reliefs sought and the Plaintiff shall be put to strict proof
thereof.

5. In specific reply to Paragraph 6 (a) to (l) of the Plaint the 2 nd Defendant avers
that;

a) On 5th October, 2021, the 2nd Defendant was approached by a one Naume
Nakazzi Kasozi who was interested in acquiring a loan of UGX

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 400,000,000/= (Uganda Shillings Four Hundred Million Only) to finance
road construction in Hoima District and a Memorandum of Understanding
was signed to that effect by Ms. Naume Nakazzi Kasozi. A copy of the said
Memorandum of Understanding is hereto attached and marked as “A”

b) The said Ms. Naume Nakazzi Kasozi was introduced to the 2 nd Defendant
by a one Mr. Banga Micheal Semugenyi (a broker) who claimed to be an
Advocate and the 2nd Defendant advanced a sum of UGX 25,000,000/=
(Uganda Shillings Twenty-five Million only) to him as consideration for
his brokerage services.

c) Ms. Naume Nakazzi Kasozi presented her National Identity Card to prove
her identity and also secured the loan with a Certificate of Title for land
comprised in KYAGGWE BLOCK 224 PLOT 297 situate at NAZIGO,
MUKONO DISTRICT measuring approximately 8.97 Hectares which she
presented as her own. A copy of Ms. Naume Nakazi Kasozi’s National ID
is hereto attached and marked as “B”

d) After conducting the necessary due diligence and confirming that indeed the
land belonged to the borrower, the 1 st Defendant executed a third-party
mortgage on the said security and the same was registered on Ms. Naume
Nakazzi Kasozi’s Certificate of Title as an incumbrance. A copy of the
Certificate of Title for the said land is hereto attached and marked as “C”

e) The parties to the said Memorandum of Understanding agreed that the said
M.O.U takes precedent in line with the letter of offer and mortgage deed
from the 1st Defendant.

f) It was agreed that Ms. Naume receives a total sum of UGX 10,000,000/=
(Uganda Shillings Ten Million only) from the 2nd Defendant and indeed
she received the said amount prior to the conclusion of the mortgage by the
1st Defendant.

g) The loan amount was not disbursed since Ms. Naume Nakazzi Kasozi did
not sign all the documents as they were availed to her by the 1st Defendant.

h) The 2nd Defendant lost touch with Ms. Naume Nakazzi Kasozi and all
efforts to locate her and reach out to her have been in vain as she is not
reachable via her shared known contact details.

i) On 28th November 2023, the 2nd Defendant wrote a letter to the 1st
Defendant requesting for release of the third-party’s title which had been
submitted with the intention of mortgaging but was not proceeded. A copy

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 of the said letter dated 28th November 2023 is hereto attached and marked
as “D”

j) The 2nd Defendant tried to contact the broker in vain so, it proceeded to
make some due diligence in that regard by writing a letter to the Chief
Registrar of the High Court of Uganda to prove his profession.

k) The 2nd Defendant was reliably informed that Mr. Banga Micheal
Semugenyi is not and has never been an Advocate. A copy of the Response
Letter from the High Court is hereto attached and marked as “E”

l) The 2nd Defendant went ahead to file a police case against the broker for
obtaining money by false pretence vide SD Ref 86/07/12/2023 at the
Central Police Station (CPS), Kampala. A copy of the Police Reference
from CPS is hereto attached and marked as “F”

m) The Defendant denies the contents of paragraph 6(l) in toto and the Plaintiff
shall be put to strict proof thereof.

n) In reply to paragraphs 6 (iii) and (iv) the 2 nd Defendant relied on the results
of the 1st Defendant’s due diligence and innocently dealt with Ms. Naume
Nakazzi Kasozi believing her to be the true owner of the land in question
and did not require consent from any other person other than third-party
mortgagor.

6. In reply to Paragraphs 7 and 8, the 2 nd Defendant shall aver that the alleged
fraudulent dealings on the suit land ought to be imputed on the third-party
mortgagor as well as the broker and not the 2 nd Defendant since it relied on the
due diligence of the 1st Defendant before submitting the third-party mortgagor’s
Certificate of Title to the 1st Defendant for the processing of the mortgage.

7. The 2nd Defendant denies the contents of paragraph 9 of the Plaint and shall
aver that it is not liable for any losses and or emotional stress suffered by the
Plaintiff and that the 1st Defendant partially executed a third-party mortgage
without giving out money to either the 2 nd Defendant or the third-party
mortgagor.

8. The 2nd Defendant shall also aver that since the mortgage was not concluded, it
tried to get in touch with Ms. Naume Nakazzi Kasozi with an intention of
reminding her to retrieve her Certificate of Title from the Bank but in vain.

9. The 2nd Defendant denies the contents of paragraph 11 and the Plaintiff shall be
put to strict proof thereof.

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 10. The 2nd Defendant submits to the jurisdiction of this Court.

11. WHEREFORE, the 2nd Defendant prays that the suit against it be dismissed
with costs.

Dated at Kampala this __________ day of _____________________ 2024

___________________________________
M/s ARTIS ADVOCATES
COUNSEL FOR THE 2ND DEFENDANT

Given under my hand and the seal of this Court this ____ day of _______________
2024

______________________________
REGISTRAR

Drawn & filed by:

Artis Advocates
Plot 8-10 Entebbe Road
3rd Floor, Suite 06, Metropole House
P.O. Box 140893, Kampala

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 THE REPUBLIC OF UGANDA
IN THE HIGH COURT OF UGANDA AT MUKONO
(LAND DIVISION)
CIVIL SUIT NO. 31 OF 2024

KASOZI LUCY NAUME NAKKAZI

(Through her lawful attorney
NANKYA VICTORIA
KASOZI) :::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::: PLAINTIFF
VERSUS
1. EQUITY BANK UGANDA LTD
2. TAMASK DEVELOPMENT LINK (U) LIMITED
3. COMMISSIONER LAND REGISTRATION :::::::::::::::::::::::::
DEFENDANTS

SUMMARY OF EVIDENCE

The 2nd Defendant shall at the trial adduce evidence to show that it relied on the 1 st
Defendant’s due diligence required before contracting with the registered proprietor of
the suit land and that it did not fraudulently deal with the suit land.

LIST OF WITNESSES
1. The 2nd Defendant’s Director
2. Any others with leave of Court

LIST OF DOCUMENTS
1. The Memorandum of Understanding
2. Ms. Naume Nakazzi Kasozi’s National ID
3. A copy of the Certificate of Title
4. A copy of the 2nd Defendant’s letter to the 1st Defendant
5. A copy of the Response Letter from the High Court

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 6. A copy of the Police Reference from CPS

LIST OF AUTHORITIES
1. The Contracts Act 2010
2. The Civil Procedure Act Cap.71
3. The Mortgage Act 2009
4. The Civil Procedure Rules S.I. 71-1 as amended
5. Case law
6. Any others with leave of Court

DATED at Kampala this ________ day of __________________________ 2024

_______________________________
M/s Artis Advocates
(COUNSEL FOR THE 2ND DEFENDANT)

Drawn & Filed by:

M/s Artis Advocates
Plot 8-10 Entebbe Road
3rd Floor, Suite 06, Metropole House
P.O. Box 140893, Kampala