KAMPALA – Ugandan businessman Patrick Bitature has lost another court battle against Vantage Mezzanine Fund II Partnership, a South African-based venture capital fund, over a debt dispute.
High Court Judge Steven Mubiru ruled in favour of Vantage, stating that the 194 million shillings awarded to them by the deputy registrar was excessively low. Vantage had appealed the decision, arguing that the amount was “manifestly low, unfair, and inconsistent” with the Advocates Remuneration and Taxation of Costs Regulations.
Bitature, who was sued alongside his wife Carol Bitature and several companies, had filed a counter-appeal arguing that the 194 million shillings was excessive. However, Judge Mubiru rejected this claim, finding that the deputy registrar had failed to evaluate all the evidence on record, leading to an “injustice” against Vantage.
The court ordered the deputy registrar to reconsider the bill of costs and increase the amount to reflect the value of the suit and its complex nature. This latest ruling is another setback for Bitature, who has been embroiled in a long-standing debt dispute with Vantage.
The dispute began when Bitature failed to repay a $10 million loan from Vantage, claiming that the fund was not legally registered in Uganda. However, the court ruled that there was a valid loan agreement between Bitature and Vantage, and ordered them to proceed with arbitration.
Vantage has claimed over $26.486 million from Bitature and his companies, and has won several court battles against him. The latest ruling is a significant blow to Bitature’s efforts to reduce the amount owed to Vantage.
In his ruling, Judge Mubiru found that the deputy registrar had arrived at a wrong decision when she failed to evaluate all the evidence on record. He held that the registrar’s failure to ascribe the correct value to the subject matter was an error of principle.
The ruling is a major victory for Vantage, which has been seeking to recover its investment from Bitature. The company has argued that Bitature’s failure to repay the loan has caused significant losses and damages.
The case has been ongoing for several years, with both parties engaging in a series of court battles. The latest ruling is likely to have significant implications for Bitature’s business empire, which has been facing financial difficulties in recent years.
