Stanbic Bank
EC Village Verification

Stanbic Bank has promised to co-operate with investigators to settle the case in which its senior executives are accused of illegal selling of client’s property in Luzira.

In a statement issued on Monday, the bank acknowledged accusations that have been leveled against its workers but noted that it couldn’t discuss the matter as it was already before court.

“A criminal complaint against some of our employees arising from a property foreclosure process following a consent judgment against one of our clients has been brought to our attention,” the bank said.

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“Stanbic Uganda acknowledges that the matter is subject to further court proceedings. Since the matter is before a court of law, the Bank is unable to publicly discuss the merits of its case at this time.”

According to a letter to Police CID, Macdowel limited mortgaged its properties on plot 1, 3, 4, 5 and 6 closes, Luzira to Stanbic Bank Limited as security for a loan advanced in 2017. The company claims that they have since paid off the loan but the bank has declined to release its titles.

“Initially, the bank’s lawyer identified as Andrew Munanura claimed that it had sold the property by public auction after the bank advertised in the monitor and auction took place on December 6, 2019 yet there was no auction,” read in part of the letter.

The company claims that its properties were grabbed through an insider dealing scheme between the bank and its employees using a front called Myriad Investment Club limited. The shareholders of Myriad Investment Club limited include; Kenneth Kitungulu (Executive and head Global markets Stanbic Bank), Lawrence Kaweesa (Global Business Manager Stanbic Bank), Allan Muhinda (interests dealer Stanbic Bank), Daisy Nitwe (Treasury sales dealer Stanbic Bank).

The others are Emmanuel Rukeeba (head analytics and products Stanbic Bank), Maureen Kembabzi Katwebaze (works with Stanbic IBTC Bank Nigeria) and Thaib Lubega (Formerly Treasury Manager Stanbic Bank).

It was revealed that Kenneth Kitungulu and Daisy Nitwe signed the sale agreement as the buyer’s directors. The sale agreement was drawn by the bank’s legal department, colleagues of the buyers/ directors/ shareholders.

The agreement bears a stamp of head BPP Credit, Stanbic and signature of Denis Lugoloobi, a senior manager Credit evaluation signing for the bank.

According to section 39 (2) and (3) of the mortgage Act, sale of mortgage property by a bank to its employees, is a crime punishable for not less than 24 months in prison.