Nakumatt goes to court in Uganda

Jun 8, 2017

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Nakumatt has been in court in Uganda this week as things get ugly with its landlord, Mpororo Group Ltd. Among the initial court submissions it was revealed that the retailer began defaulting as early as 2013. Overall, three plaintiffs, two of whom are a government minister and his wife, are seeking $569,339 and legal costs from Nakumatt. They are alleging unpaid rent as a result of bounced cheques from September 2016 onwards. At Nakumatt’s Entebbe branch court bailiffs have already removed out bakery equipment in a bid to recover some debt. To further compound problems, Nakumatt also faces pressure from allegations of VAT fraud – with the same plaintiffs claiming that the retailer recovered VAT of $46,357 on invoices it hadn’t yet paid.

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