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Court orders attachment of Pioneer Easy Buses over a Shs152m debt

Pioneer Bus on the streets of Kampala in 2015. PHOTO KCCA MEDIA

The Kampala High Court’s Execution Division has ordered the attachment of 26 buses belonging to Pioneer Easy Bus Company for failure to clear a 2013 debt of over Shs152 million.

The order to attach the Buses has been issued by the Court’s Deputy Registrar Muse Musimbi to bailiffs from Libra Auctioneers, who immediately proceeded to City Square and attached 16 buses. They were driven to their parking lot in Nansana awaiting to be auctioned to recover the Shs152 million.

The company’s woes stem from a 2014 judgment delivered by Nakawa Court ordering it to pay businessman Charles Mushabe Shs151 million for the supply of spare parts.

It is reported that since then, and despite repeated demands; Pioneer Easy Bus Company has refused to pay prompting Mushabe to seek services of court bailiffs.

Pioneer welcomed before troubles started

When they were launched, the Pioneer buses were welcomed by residents of the city and institutions as they were seen as a long awaited solution to resolving the public transport gap in the country.

They were also much cheaper than the taxis, but it did not take long before the Pioneer operators fell into financial problems.

They first hit the streets in 2012 to much fun-fare, before they were taken off as problems mounted a year later. They returned briefly in 2015 before the company operations collapsed not long after.

The company which was first incorporated in on March 1, 2005, lists Former Privatization minister and National Resistance Movement (NRM) historical Matthew Rukikaire and businessman Fred Senoga as chairman and secretary respectively according to the registrar of companies.

Rukikaire owns 45.04 percent share in the company that first imported over 100 buses for public transport in Kampala.

The other shareholders, according to available records, are former premier Kintu Musoke, former deputy premier Eric Adriko, Faizal Kasujja, a Banker, Dr. Muhammed Kasajja, a real estate developer and Ida Wanendeya

The post Court orders attachment of Pioneer Easy Buses over a Shs152m debt appeared first on The Independent Uganda:.

This post was syndicated from The Independent Uganda:. Click here to read the full text on the original website.

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