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Soroti District Woman MP Anna Adeke Ebaju has faced a setback in her efforts to recover a substantial sum of money she invested in a prospective gold mining venture.
The High Court’s Commercial Division ruled this week against her claim to direct repayment of over 270million ($76,400) she claims to have invested in the venture with interest.
The recent judgment determined that the funds had been repaid, but not directly to the MP; instead, they were sent to her associate, Paul Mugoya.
The dispute revolved around a sum of USD 76,400 that Adeke Ebaju sought to recover from C-Asian Mining and Mineral Ltd and its General Manager, Nasur Lokeris Modester.
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Anna Adeke Ebaju
Background to the Contested Financing Agreement
According to court papers, Hon Adeke entered Financing Agreement on May 17, 2024, between C-Asian Mining and Mineral Ltd (the Applicants) and Adeke Ebaju (the 1st Respondent), intended to finance the company's gold exploration and mining operations within Kyambura wild game reserve.
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It was agreed that Adeke, together with Paul Mugoya, would advance a total of USD 66,500.
The two, however, availed only USD 56,400, leaving an outstanding balance of $10000
Months into the deal, Adeke and Mugoya turned around and unilaterally demanded that their money be refunded, despite the agreement being in effect.
Adeke alleged that she decided to pull back from the deal after Mr Lokeris failed to make the first payment of the Return on Investment in time, there by breaching the contract provisions
Lokeris told court that he obliged and repaid up to Shs 188,700,000/= into the bank account of Mr Mugoya.
Adeke, however, denied ever receiving any repayment from the Applicants.
Disputed Payments and Lack of Direct Evidence
Lokeris provided evidence of payments totalling UGX 188,700,000/= made to Paul Mugoya's Absa Bank account and mobile money number.
He argued that these payments, supported by screenshots of WhatsApp messages between the Mugoya, proved their efforts to repay their contractual obligations.
Mugoya, however, claimed the payment was for separate dealing and that he was not privy or party to the original Financing Agreement between the Applicants and Adeke Ebaju.
Adeke also denied involvement with Mugoya regarding her dealings with the Applicants, contending there was no evidence of her assigning the agreement to him.
Anna Adeke Ebaju
Court Sides with Applicants, Sets Aside Statutory Demand
Ultimately, Justice Patience T.E. Rubagumya ruled in favour of the Applicants, C-Asian Mining and Mineral Ltd, and Mr Lokeris setting aside the statutory demand for USD 76,400 issued by Anne Adeke Ebaju.
The court found that the evidence presented by the Applicants, particularly the documented payments made to Paul Mugoya, raised a triable issue regarding the actual outstanding debt.
The judge noted that while Paul Mugoya did not dispute receiving the monies, he disavowed being a party to the primary agreement.
Consequently, the statutory demand dated January 6, 2025, was set aside, and each party was ordered to bear its own costs.