The Commercial Court has ordered that government recovers it’s 1.2 million Us Dollars from Imperial Royale Hotel for failure to offer Hotel facilities and accommodation to CHOGM visitors in 2007.
Justice Henry Peter Adonyo also ordered that the Hotel pays Gov’t 800 million shillings as damages for breach of contract and lowering the country’s esteem and renown global hospitality.
The award comes after government successfully wins a case against Imperial Royale Hotel for failing to accommodate its visitors at a crucial time yet it (GVT) had paid an advance of 2.5 million dollars for the Hotel services.
In its pleadings before court, gvt says after payment of the said money in June 2007, it contracted an independent firm to audit the hotel facilities which established that the Hotel rooms were not ready for accommodation by 18thNovember 2007, a few days to the CHOGM visitors’ arrival.
Government adds that since then it went ahead to demand for a refund and only got 152 dollars while the Hotel argued that it had used the rest of the money on rehabilitating its services in preparation for the said visitors; hence this suit.
However in his judgment delivered this morning, Justice Adonyo condemned the manner in which the Hotel and other good for nothing pretenders access public funds at the detriment of tax payers who again shoulder the burden to defend Govt suits in courts.
The Judge therefore ordered that Imperial Royale Hotel pays costs of the suit.
By Christine Nabatanzi and Joshua Mutale