DFCU Bank in response to recent developments has reiterated its position concerning the properties acquired from the defunct Crane Bank.
Following a ruling by the Assistant Registrar of the High Court (Land Division) on Friday, February 2, mandating DFCU Bank to relinquish 48 properties transferred to it by Bank of Uganda as part of the Purchase of Assets and Assumption of Liabilities Agreement (P&A), the bank clarified its stance.
According to DFCU Bank it vacated these properties in 2020, well before the court’s ruling. Consequently, complying with the court order does not disrupt the bank’s operations. These properties, which comprised former Crane Bank Limited branches, were part of the assets transferred to DFCU Bank under the P&A agreement in 2017.
However, this transfer faced legal challenges notably from Meera Investment Limited, leading to a High Court judgment on October 24, 2023. The judgment instructed the Commissioner of Land Registration to annul the transfer of properties to DFCU Bank and for the bank to grant Meera Investment vacant possession within three months.
DFCU Bank promptly vacated the premises, situated across various locations in Uganda, including sites like the former Ntinda Crane Bank branch, some of which were found to be within road reserves.
DFCU Bank emphasized its confidence in the legal framework stating that it remained fully indemnified by Bank of Uganda under the P&A agreement.
In its latest statement, the bank reassured its stakeholders of its stability and commitment to serving the needs of its customers, affirming its dedication to uplifting lives and businesses across Uganda.
