Kampala — Armstrong Auctioneers, a debt collecting company, is selling two luxury cars worth Shs310 million over non-payment of a Stanbic Bank loan by the Libyan Embassy in Uganda. The bailiffs are auctioning a Range Rover and a Toyota Land Cruiser estimated at Shs170 million and Shs140 million, respectively, according to a public notice issued by the company yesterday.
The vehicles are to be sold at 10am on May 10, by the auctioneers if the Libyan embassy in Kampala does not clear the loan and related costs. "Upon instruction from our client, we shall proceed to sell the under mentioned vehicles unless the debtor clears us before the sale date," a notice reads in part.
The Libyan Arab People Bureau (embassy) is identified in the notice as the debtor. The attached cars were used by Mr Abdallah Bujeldain, the former Libyan ambassador to Uganda, while on duty. The ambassador fled Uganda to join the rebels fighting Col. Muammar Gaddafi, press reports said.
The embassy bought the luxury cars for its boss using a loan that was acquired from Stanbic Bank Uganda, a source who asked not be named told Daily Monitor yesterday.
The source said the loan was secured last year but the embassy is failing to meet its obligations due to the financial crisis that has hit the Libyan government. "The whole embassy is paralysed because they are not getting funds from Libya," he said. Mr Yoosefi Murghan, the acting Libyan ambassador to Uganda, declined to comment on the matter.
Mr Daniel Nsibambi, the communications manager at Stanbic Bank, could also not divulge details of the debt to maintain a good relationship with the bank's customer. "We are guided by codes of confidentiality which we don't breach without the conscious of the customer," he said.