Justice Patience Rubagumya of the Commercial Division of the High Court allowed the process of liquidating Sumadhura Technologies Limited which is an international construction company over Shs500m debt.
In her judgement, she declared that Sumadhura Technologies is unable to pay its debts which means it should be winding up and receiver appointed as the provisional liquidator of the said company.
She further directed that the costs incurred during the Court proceedings be paid from the money collected from the winding up by Black Opal Limited which was the petitioner in the matter.
According to Nicholas Mbabazi the Black Opal Executive Director’s affidavit, his company entered a contract for fabrication and supply of steel towers on 16th March, 2023 to supply Sumadhura Technologies Limited.
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He stated that his company duly performed its contractual obligations but the respondent failed to make payments despite the constant reminders hence breaching their contract.
He stated that the respondent failed to pay his company Shs523m which they had agreed upon completion and delivery of the works and issuance of invoices.
He stated that on 9th December, 2025, a statutory demand was duly served to the Respondent through its lawyers for payment of the said debt but they failed to pay the debt or comply with the statutory demand.
“That therefore, the Respondent is insolvent and unable to pay its debts as and when they fall due. That within a period of five years, the Respondent has neither been declared insolvent nor agreed to make any settlement with its creditors in satisfaction of its debts nor has it been placed under administration,” court documents read.
