Bank Employee Ordered to Pay Over Shillings 14 Million to Boyfriend After Misusing Business Funds

by September 18, 2023

A commercial bank employee has been instructed by a court to pay more than 14 million shillings to her boyfriend after she was found guilty of misusing funds sent to her for a business venture for personal gain.

The court’s decision, issued by Law Development Centre Principal Magistrate Martins Kirya on Friday, followed a civil suit filed by Isaac Kumakech against his girlfriend, Patience Ngaimita. Kumakech had sought a court order for Ngaimita to repay the money he had sent to her to establish a bar and restaurant business, which he alleged she used for her personal benefit.

According to the court documents, the couple initially met on Facebook and developed a close relationship that eventually led to a marriage proposal. At the time, Kumakech was pursuing his master’s degree in the United States, while Ngaimita was employed at a bank’s Mbale branch.

After some time, they decided to venture into business together, with Ngaimita resigning from her job, relocating to Kampala, and planning to establish a bar and restaurant, financially supported by Kumakech. They also agreed to form a company, Living Room Limited, in which both were directors.

Ngaimita moved to Mbalwa in Namugongo, Kira municipality, and Kumakech began depositing money into her mobile number. However, Kumakech accused Ngaimita of deceiving him and using the funds for personal purposes.

In response, Kumakech requested the court to order Ngaimita to repay 15,952,335 shillings, plus costs incurred during the case, at an annual interest rate of 25%.

Ngaimita’s Defense

Ngaimita defended herself by asserting that the funds sent to her were intended for her own living expenses and not for business purposes. She claimed to have sent Kumakech a business proposal, which he did not respond to, and therefore requested the court to dismiss the case and award costs in her favor.

The Magistrate’s Ruling

In his ruling, Magistrate Martins Kirya found Ngaimita to have been deceitful to her boyfriend based on the substantial sum of money and the duration of the case, which suggested a genuine intention to invest the funds. The magistrate also questioned the authenticity of Ngaimita’s resignation letter, noting that it appeared handwritten and did not follow the customary practices of a reputable organization.

As a result, the court ordered Ngaimita to repay 14,952,335 shillings, representing the funds received during the establishment of the company, along with an annual interest rate of 25%. Additionally, Ngaimita was directed to pay one million shillings in punitive damages for her fraudulent actions.

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