This website’s investigative journalist has followed this matter since January 8, 2021, when Standard Chartered Bank (SCB), through its lawyers, Ligomarc Advocates and its associate Rita B. Mwesige, supervised the removal of all items from a plot belonging to Three Ways Group of Companies (in Receivership), located opposite Livercot ICD in Namanve Industrial Park. The items were transferred for storage to Liberty ICD Limited, situated approximately two kilometres away.
Immediately after the plot was vacated, Mandela Group made a substantial payment to SCB the following day and subsequently took possession of the land and the structures thereon.
Prior to the sale and transfer of possession, Ligomarc Advocates deployed a team led by Peace Kanyonyozi, accompanied by two other female employees in skimpy shirts, to identify a suitable storage location for the relocation of the assets belonging to Three Ways Group. Several professional meetings were thereafter held, during which storage arrangements were discussed. Through email correspondence, storage charges were negotiated and a 20% discount was agreed upon.
Ligomarc Advocates later obtained formal approval from SCB confirming that the negotiated storage rates were acceptable. Upon agreement of the contractual terms by all parties, Inter Mech Enterprises Limited was engaged by Ligomarc Advocates on January 9, 2021, and was paid Shs15,000,000 by cheque issued by SCB for relocation services.
The transfer of all items and vehicles was completed under the supervision of Ligomarc Advocates over a period of four days, occupying nearly three acres of land within Liberty ICD Ltd. The assets relocated included 96 trucks and trailers, 17 containers (20ft and 40ft), together with numerous loose items. Ligomarc Advocates retained custody of the container locks, which were rented, as well as the truck keys and logbooks.
Accordingly, SCB’s responsibility was clearly established, consistent with the principles set out in Schuler AG v Wickman Machine Tool Sales Ltd [1974] AC 235 (HL), demonstrating the existence of a valid and binding contract executed in good faith by all parties.
At no point did Ligomarc Advocates disclose the ownership of the items or provide any substantive details regarding Three Ways Group of Companies. The only representation made was that the items would remain on the premises for a short period.
Upon receipt of the items, Liberty accepted custody and secured the designated area by cordoning it off, after which storage charges were duly assessed. The arrangement was founded upon a professional undertaking grounded in integrity, ethical conduct, and good faith, in accordance with the precise terms agreed upon by the parties.
Due to the enormity and volume of the items delivered, occupying approximately three acres of space Liberty was compelled to enhance security measures, including the engagement of additional askaris, deployment of dog patrol units, coordination with Local Defence Unit (LDU) personnel, and installation of security cameras to safeguard the property during the transfer process.
Throughout the transfer period, staff from Ligomarc Advocates were regularly present on-site and actively coordinated with the movers, Inter Mech Enterprises Limited, as well as Liberty’s security personnel.
PAYMENT AND HIDE/SEEK
SCB ultimately made a partial storage payment on September 14, 2022, covering three months of storage charges for the period January- March 31, 2021. This payment was made as part of a partial settlement reached during mediation proceedings at Mukono High Court, at which the Uganda Revenue Authority (URA) was not present. The payment effectively affirmed the existence and validity of the contractual relationship under applicable Ugandan corporate law.
Initially, SCB maintained that storage charges were the responsibility of the 3 Ways Group of Companies. However, these entities were never clearly identified, were not present during the relevant proceedings, and were already in receivership at the time. Consequently, their alleged liability for storage charges lacked practical and legal foundation. Despite this, the argument was repeatedly advanced by SCB and supported by the Ligomarc parties, notwithstanding that Liberty held a binding contractual relationship solely with SCB.
In April 2021, URA issued Warrants of Distress against the Three Ways Group of Companies, copies of which were forwarded to Liberty for reference purposes. Following this development, SCB unexpectedly shifted its position, suggesting that URA had become responsible for the storage charges. This position was reportedly linked to the involvement and continued insistence of URA debt collection manager, Stanley Kabyemera who would even do summersaults to satisfy his beneficiaries, SCB for three years.
The approach taken by Ligomarc appeared aimed at avoiding responsibility by successively transferring liability first to the Three Ways Group of Companies and later to URA. However, the factual circumstances did not support this position. URA neither visited the storage site, conducted an inventory, nor deployed police personnel to secure the assets. Additionally, URA did not remove the goods to any designated auction facility, which would ordinarily be required for enforcement action.
Furthermore, the applicable by-laws clearly stipulate that where goods are seized under Warrants of Distress, the auction process must be completed within ten (10) days. Despite this requirement, the matter remained unresolved for approximately four years, during which confusion arose due to shifting positions, delayed decision-making, and prolonged procedural inaction involving both Ligomarc and SCB.
STORAGE LIABILITY DISPUTE, SUBSEQUENT PROCEEDINGS
SCB, together with Ligomarc, appeared to adopt a coordinated position declining to honour their legally binding obligations under the storage agreement. During the period from March 2021 to 2023, the matter experienced repeated delays and shifting positions, accompanied by continued engagement with URA officials regarding responsibility for storage charges.
A significant breakthrough meeting was later convened at the URA offices, attended by all relevant parties and led by Deputy Manager Tony Omuka. During the meeting, it was clearly stated that URA bore no storage liability, as the statutory 10-day period applicable to enforcement under Warrants of Distress had already expired. Accordingly, legal responsibility for the storage charges rested solely with SCB under the existing contractual arrangements.
It was further noted during discussions that, as one of Uganda’s largest commercial banks, SCB possessed the financial capacity to meet its contractual obligations, and that transferring such liability to URA would effectively shift a private contractual burden onto public resources and taxpayers without legal justification.
“Why should the taxpayers of Uganda bail out SCB, that was ridiculous, unprofessional and totally unpatriotic,” one of the lawyers who preferred anonymity stated.
Following the position, disagreements arose within URA regarding the interpretation of responsibility. Manager Stanley Kabyemera contested the position articulated during the meeting. Subsequently, SCB sought further engagement with the URA Legal Department, including the involvement of Acting Commissioner Legal, Stella Nyapendi, who unfortunately and without a basis supported a reassessment of SCB’s liability position.
These developments significantly intensified the dispute and contributed to prolonged administrative and legal uncertainty. Concerns were raised by affected parties regarding decision-making processes, consistency of legal interpretation, and the overall handling of the matter within the relevant departments.
Accountability, Legal Oversight, Enforcement & contractual obligations
The current Commissioner Legal, Catherine Donovan Kyokunda, is urgently urged in a patriotic move to consider establishing an independent and confidential complaints mechanism within the Legal Directorate, accessible directly to her office. Such a mechanism would promote transparency, accountability, and public confidence by enabling citizens and stakeholders to raise concerns regarding legal processes and administrative conduct within URA.
Concerns had previously arisen regarding efforts by former Acting Commissioner Legal, Stella Nyapendi, to advance a position that URA should assume responsibility for storage charges allegedly amounting to approximately shillings 6 billion, despite the absence of a clear legal basis for transferring a private contractual obligation to a public authority. This position, if adopted, would have placed an unnecessary financial burden on public resources. Subsequent leadership changes within URA have provided an opportunity to reassess the matter objectively.
The dispute was later considered before Justice Mubiru, who encouraged the parties SCB, the 3 Ways Group of Companies, and Liberty ICD to pursue negotiations toward a mutually agreed and discounted settlement amount during proceedings scheduled for November 2026. However, meaningful progress toward settlement has not been achieved, and the dispute has continued due to “above the law” and arrogant attitude by SCB.
Following the apparent closure of administrative avenues within URA, SCB engaged external legal representation. Despite ongoing proceedings, key contractual issues remain unresolved, particularly concerning responsibility for storage charges arising from goods left at Liberty ICD facilities for an extended period.
Over approximately five years, the stored vehicles and equipment have remained exposed to environmental conditions, resulting in substantial depreciation. Liberty ICD maintains that responsibility for this situation rests with the contracting party that arranged storage and failed to remove the goods within a reasonable timeframe. Liberty ICD further submits that it should not bear responsibility for disputes between SCB and Three Ways Group of Companies, which are separately before the Commercial Court.
Under applicable Ugandan contract law principles, Liberty ICD seeks recovery of lawful storage charges of shillings 6 billion for goods delivered into its yard pursuant to contractual arrangements. The claim reflects services rendered and costs incurred over the duration of storage to SCB and no one else.
Liberty ICD respectfully submits that contractual obligations must be enforced with SCB consistently and equally. Where contractual duties are not fulfilled, appropriate legal remedies should follow in accordance with the law. The matter therefore calls for judicial determination to ensure clarity of responsibility, enforcement of contractual rights, and protection of lawful commercial expectations.
Liberty ICD seeks shillings 6 billion in storage charges directly from SCB, otherwise SCB taste its own medicine, having banking license suspended, external auditors issue a certified opinion. The Chief Executive Officer and board of directors should be held in contempt, assets of the bank sized.
SCB constantly ignoring and disrespecting the contract laws of Uganda. Therefore, since the bank is also completely unpatriotic towards Uganda, it should now be thrown under the YELLOW BUS.
