Former Bukoto South legislator Muhammad Muyanja Mbabali has accused Diamond Trust Bank trying to auction properties without following the law.
DTB put on notice for auction properties belonging to Mbabali over debt owed to DTB. DTB in an advert that appeared in today’s newspapers gave Mbabali only 30 days to pay the loans and save properties.
Through Trust General Auctioneers and Court Bailiffs on orders of MMAKS Advocates representing DTB have put up properties up for auction and these include his former residence in Kisugu-Muyenga, a building in Mpigi, an apartment in Masaka Municipality, two apartments in Ntinda and Kyadondo.
In a telephone interview with Eagle Online, said the bank was using underhand methods to take his property. Mbabali said the matter was before High Court and therefore the rush to auction his property is uncalled for. He further blamed DTB for luring him into a deal that turned to be a hoax.
“I was a customer for DTB and they are my clients at Masaka for the last 10 years. One they came to me with a business deal that there was a hostel being sold at Shs7 billion. My account had Shs1.5 billion but they insisted on me buying, I insisted on not buying the idea but they suggested it was a good deal. Mind you, they overvalued the property. And that is the genesis of all this crisis. After learning that the hostel was unproductive and no money is being generated, they resorted to attaching my property and the matter has been High Court since early this year” Mbabali said.
The five properties are registered under his company MFK Cooperation Limited.
“Dully instructed by MMAKS Advocates on behalf of their client (DTB), the registered Mortgagee, we shall proceed to sale under mentioned properties, also pictured below by public auction or private treaty after expiry of 30 days from the date of this notice or thereafter unless the debtor (Mr. Muyanja Mbabali) pays all the monies owed to our client plus our fees and costs incurred in the process, ” Auctioneers said.