ABC Capital Bank Sues Former Cranes Captain Andy Mwesigwa Over Defamation

ABC Capital Bank has initiated legal action against former Uganda Cranes captain Andy Mwesigwa, accusing him of defamation. The lawsuit, filed in the High Court in Kampala, centers on allegations Mwesigwa made against the bank during a dispute over a loan for his Amesco High School in Wakiso.

The bank seeks general, punitive, and exemplary damages, a public apology and retraction from Mwesigwa, and a permanent injunction against further defamatory statements. It also requests interest at 25 percent per annum and costs of the case. The suit was filed on August 20, 2026.

The dispute intensified after Mwesigwa publicly appealed to President Yoweri Museveni, alleging that "sports mafias" were collaborating with ABC Capital Bank to take over his school. These accusations were reportedly published through various media outlets, including Umoja Standard, Galaxy FM, and social media platforms like TikTok and YouTube.

Specifically, Mwesigwa is accused of claiming the bank applied an unlawful monthly interest rate of 30 percent, which he stated was not in the original loan agreement. He also alleged the bank's involvement with "sports mafias" to seize the school. ABC Capital Bank argues these statements portray it as a dishonest and fraudulent institution that conspires with criminal elements and imposes illegal interest rates.

The bank vehemently denies these allegations, asserting that all its actions have been lawful and compliant with the loan agreement and debt recovery laws. Records indicate Mwesigwa's school received a Shs480 million term loan in January 2020, with a contractual maturity date of February 12, 2025. The effective interest rate was 23.5 percent, with a contractual penal interest rate of 38.5 percent. Despite payments totaling Shs338,400,611.28, the bank states the payments were insufficient to regularize the account, leading to an outstanding balance. The loan account was written off on June 28, 2024, at Shs787,369,486.68, though the bank maintains this does not waive Mwesigwa's repayment obligation.

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