Negotiations have been initiated by wholly-owned Kenyan bank KCB Uganda days after Uganda Revenue Authority (URA) blacklisted them and advised their clients to seek services from other banks available on its portal.
According to reports by The EastAfrican, the Kenyan bank says that the bank had been caught up in a dispute between URA and a client that saw it receive a garnishee.
“KCB Bank Uganda Limited was identified as a garnishee in a court case involving URA and third parties. The Bank acted as garnishee in compliance with an order issued by the court in Kampala,” KCB said.
“KCB Bank Uganda Limited is actively engaging with URA to facilitate the reactivation of the bank on the URA portal,” it added.
A garnishee is a third party who is served with a court order to surrender money in settlement of a debt or claim.
URA’s assistant commissioner for public and corporate affairs Sarah Banage revealed that the matter was “serious” but added discussions were ongoing.
