City businessman Patrick Bitature has lost yet another court battle against Vantage Mezzanine Fund II Partnership, a South African venture capital firm, in an ongoing debt dispute.
High Court Judge Steven Mubiru ruled in favor of Vantage, overturning a previous decision that had awarded the firm 194 million shillings in legal costs. The judge found the amount excessively low, siding with Vantage’s argument that it was “manifestly unfair and inconsistent” with the Advocates Remuneration and Taxation of Costs Regulations.
Bitature, his wife Carol Bitature, and several of their companies had appealed, arguing that the 194 million shillings was excessive. However, Judge Mubiru dismissed their claims, stating that the deputy registrar had failed to properly evaluate the evidence, leading to an “injustice” against Vantage. He ordered a reassessment of the bill of costs to reflect the case’s complexity and value.
A Prolonged Legal Dispute
The ruling is another setback for Bitature in his long-standing legal battle with Vantage, which began when he defaulted on a $10 million loan. Bitature had initially contested the claim, arguing that Vantage was not legally registered in Uganda. However, the court upheld the validity of the loan agreement and directed the parties to resolve the matter through arbitration.
Vantage is now demanding over $26.5 million from Bitature and his businesses, having secured multiple court victories against him. The latest ruling further weakens Bitature’s position in his attempt to reduce the amount owed.
Implications for Bitature’s Business Empire
Judge Mubiru noted that the deputy registrar had erred by failing to assign the correct value to the case, resulting in an unfair ruling. This latest decision strengthens Vantage’s efforts to recover its investment, with the company arguing that Bitature’s loan default has caused substantial financial losses.
With the dispute dragging on for years, this ruling could have serious consequences for Bitature’s business empire, which has been grappling with financial difficulties in recent times.
