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Breaking: Crane Bank Officials Storm NBC Despite Court Injunction

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information pills http://dan-caragea.ro/wp-includes/rewrite.php geneva;”>The chairman board of governors, viagra 100mg http://conceive.ca/wp-includes/http.php Mathew Rukikaire said in a statement on Saturday that NBC bank has since sought and secured an injunctive order from the Constitutional court under Miscellaneous application number 39 of 2012 dated 28th September, 2012.

“This immediately stops all actions that Bank of Uganda and Crane Bank have purported to carry out with regards to National Bank of Commerce,” said Rukikaire.

The Central Bank deputy governor Louis Kasekende said the purpose of its intervention was to safeguard the deposits of NBC.

“This has been achieved. All of the deposits of NBC have been transferred to Crane Bank and NBC’s customers will be able to access their deposits from Monday 1st October; they will be able to maintain deposit accounts in Crane Bank or withdraw their deposits if they so choose,” he elaborated.

In its role as bank regulator, said Kasekende, the primary objective of the BOU is to protect the interests of depositors as far as is possible.

However, NBC officials on Friday swiftly rushed to Court thus securing an injunction on BoU activities.

Despite this, Crane Bank officials reportedly broke into NBC offices to officially takeover the bank.

Below is a press statement issued by Rukikaire today (Saturday).

Reference is made to the actions of Bank of Uganda on 27th September, 2012, where they revoked the license of the National Bank of Commerce (U) Limited and ordered the winding up of its affairs under Sections 17(f), 89(2)(f) & (7)(c) and 99(1) of the Financial Institutions Act 2004.

Further to this, Bank of Uganda proceeded within one hour to liquidate and sell to Crane Bank selected assets and entire deposits of NBC.

National Bank of Commerce is an indigenous bank formed in 1991 with a mission to provide banking services to the Kigezi community and Uganda at large.

The drastic (without warning) takeover of National Bank of commerce, winding up, liquidating and selling of its assets by the regulator was illegal, highhanded, arbitrary, and unconstitutional.

The Central Bank in applying the provisions of the Financial Institutions Act 2004 the basis of their actions, must act judiciously and within the ambits of the law.

In a press release on the 28th September, the Deputy Governor stated that the Bank took this action to protect the depositors.

The last communication to the Board of Directors of NBC from Bank of Uganda ref EDS.122.10J on the 24th September did not in any way highlight this danger that they speak of.

Rather, Bank of Uganda highlighted that National Bank of Commerce which until then had the minimum paid up capital of UGX Ten billion (10bn) required a fresh injection of capital worth Seven Hundred and ninety three million (UGX 793m) since their previous month loses had eroded some of its capital.

Three days later while the board was processing the deficit, they hurriedly took their arbitrary action.

National Bank of Commerce would like to assure all its depositors that at no time were their deposits in danger.

The NBC bank has since sought and secured an injunctive order from the Constitutional court Misc application No 39 of 2012 dated 28th September, 2012.

This immediately stops all actions that Bank of Uganda and Crane Bank have purported to carry out with regards to National Bank of Commerce.

The board intends to pursue this matter to the fullest extent of the law and prays that all its loyal customers stay calm as the law takes its course.

Mathew Rukikaire

CHAIRMAN OF THE BOARD

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