Pharmaceutical firm faces collapse as Shs300m court deposit remains locked
Mavid Pharmaceuticals is at risk of collapse due to bureaucratic delays in the Ugandan judiciary regarding the release of court-deposited funds. Despite a mediated settlement reached nearly a year ago, the firm remains unable to access the money needed to stabilize its operations.
Why it matters
This highlights the impact of judicial inefficiency on small businesses and the potential for administrative hurdles to cause permanent economic damage.
The scrutiny follows a December 3, 2025 directive by Justice Geoffrey Kiryabwire, who mediated one of the appeals, asking the Chief Registrar to facilitate the release of the funds after the warring parties reached a formal settlement.
The Judiciary is on the spot over prolonged delays in releasing $62,819 and Shs50 million (totaling about Shs300 million) deposited in court as security for costs in a long-running commercial dispute involving local firm Mavid Pharmaceuticals and Pakistan-based Royal Group.
In his letter, Justice Kiryabwire confirmed that the parties had successfully resolved their dispute, paving the way to conclude two pending appeals, and requested the Judiciary’s assistance in executing the agreement.
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