Roko loses appeal to halt Shs 1.5 billion recovery

0
Roko loses appeal to halt Shs 1.5 billion recovery


The High court has dismissed an application by Roko Construction Company seeking to block the execution of a court order requiring it to pay over Shs 1.5 billion to Pramukh Steel Limited.

In her ruling, Justice Dr Ginamia Melody Ngwatu said Roko had failed to satisfy the legal requirements for the grant of a stay of execution.

“In consideration of the submissions made by both counsel for the applicant and the respondent, and the law pertaining to applications for stay of execution pending appeal, this court is not convinced that the applicant has proved sufficient grounds,” she ruled.

Ngwatu noted that Roko did not demonstrate that it would suffer irreparable harm if execution proceeded or that Pramukh was financially incapable of refunding the money in case the appeal succeeded.

“The applicant has not demonstrated that the appeal has a reasonable chance of success. This application fails and is hereby dismissed with costs to the respondent,” she concluded.

In 2020, Pramukh Steel Limited sued Roko to recover nearly $400,000 for unpaid construction materials it supplied. The court heard that Roko only paid $51,671 out of the $450,850 it owed, leaving a balance of $399,156.

In 2024, justice Cornelia Sabiiti Kakooza ruled in favour of Pramukh, ordering Roko to pay the outstanding amount with a 10% annual interest until full settlement. Following the ruling, Pramukh moved to enforce the judgment early this year.

Roko responded by filing a stay of execution application, arguing that it had filed an appeal with a high chance of success and stood to suffer significant financial loss if execution went ahead.

However, in her ruling, Justice Ngwatu said Roko did not attach a copy of the memorandum of appeal or proof of having applied for a certified record of proceedings.

“Without a memorandum of appeal, this court is unable to establish the likelihood of success of the appeal or whether the Court of Appeal would reasonably come to a different conclusion from the trial court,” she ruled.

The case will now proceed with Pramukh free to recover the awarded sum from Roko.

Leave a Reply

Your email address will not be published. Required fields are marked *