Ugandan traders sue South Sudan over Shs100 billion Daily Monitor Kampala, 18/07/12 - The government of South Sudan has been dragged to court over failure to pay for grains worth about Shs101 billion to Ugandan traders. A group of 24 Ugandan companies under their umbrella organisation; Uganda South Sudan Grain Traders and Suppliers Association have lodged a case at the Commercial Division of the High Court, seeking for a declaration that the refusal of the South Sudan government to pay them as per the Memorandum of Understanding with Uganda is unlawful. The traders through their lawyers allege that they supplied the South Sudan government with grain comprising of sorghum and maize between 2009 and 2010 worth about Shs137 billion ($56 million) but have not paid. This prompted the Ugandan government to intervene on behalf of the traders leading to the signing of MoU with South Sudan in November 2010. According to court documents, the government of South Sudan allegedly signed a MoU with the Ugandan government committing itself to pay the said monies in installments starting with an advance payment of Shs36.7 billion ($15 million) as partial payment. However, the traders allege: “The respondent (South Sudan) has in breach of its commitments under the MoU neglected to settle all the applicants’ claims as set out in the said MoU.” It is alleged that the traders have continuously been deprived and denied access to their financial assets in contravention of their right to property under the Ugandan law. Meanwhile, court has summoned the government of South Sudan to file its defence in the matter within 15 days. Kampala High Court Judge Hellen Obura has set July 30 this year to hear the maiden case against South Sudan government in the Ugandan courts. The traders are seeking for a court order for the government of South Sudan execute or perform its commitments under the November 21, 2010 agreement.
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