Uganda National Roads Authority (Unra) has been ordered to pay a construction firm more than Shs16.2 billion for the reconstruction of the Jinja- Kamuli road.
In a June 14, 2018 consent judgment, Unra and Dott Services mutually agreed on the payment with simple interest.
“Whereas the interest accrued is Shs8,565,445,730, the plaintiff [complainant] discounts off 35 per cent, which is further mutually discounted to an agreed final lump sum interest of Shs5,360,000,000 to be paid by the defendant (Unra),” reads part of the judgment.
In 2016, Dott Services sued Unra for non-payment for roadworks on the 103 kilometre Jinja- Kamuli road in line with a contract signed on October 22, 2010.
The debt in question resulted from non-payment of the money in line with interim payment certificates that were to be paid within 30 days, but were not, thereby attracting interest in accordance with the contract sum of Shs659m.
The order also demanded that the payments be effected upon the first quarterly release of funds in the Financial Year 2018/2019, and not later than August 19 this year.
Lawyers, Falcon Associated Advocates and Walubiri Bamwine and Company Advocates, signed the consent judgment for Dott Services while the executive director and director of legal services signed on behalf of Unra.
Unra spokesman Mark Ssali declined to comment on the matter, referring Sunday Monitor to the document for details.
Dott Services had claimed that it had registered losses due to the six years of delayed payment.