Thursday, November 27, 2008

Karume’s son loses case against Barclays Bank

Daily News; Thursday,November 27

The High Court has dismissed with costs the suit lodged by Amani Ali Karume, son of Tanzanian Ambassador to Germany, Mr Ali Amani Karume, demanding 16bn/- compensation from Barclays Bank Tanzania Limited, for wrongful dismissal and breach of employment contract.

Judge Thomas Mihayo ruled that there was no evidence to prove the claims against the bank by Mr Karume, who was Deputy Managing Director. He ruled that there was no evidence to prove wrongful dismissal and claims of racial discrimination committed by the bank.

On the evidence available, the judge ruled, Karume Junior resigned from the post he was holding within the bank on his own and, therefore, the letter of resignation was not vitiated by deceit, undue influence or threats. “There cannot be a dismissal where parties have exercised their rights under a contract within the terms of that contract. All in all, I find that the plaintiff (Karume) was not wrongfully and unfairly dismissed by the defendant (bank),” the judge ruled.

In the case, Mr Karume, had claimed that the bank had employed him as Corporate Director with effect from September 2002, whereby in May 2003 he was duly promoted to the post of Deputy Managing Director. He charged, however, that for reasons best known to his employer, he continued to get same salary and other fringe benefits he received when he was a Corporate Director and was allegedly subjected to sinister racial discrimination.

According to him, the defendant’s move of paying his junior better benefits than him amounted to blatant racial discrimination contrary to the policy of the bank provided for in Barclays Staff Handbook. The plaintiff stated that on November 6, 2003, he reluctantly tendered to the defendant a notice of resignation where upon receipt of the same, the bank proceeded to wrongfully dismiss him forthwith from his employment.

In its defence, however, the bank through advocate Dilip Kesaria, denied the allegations by Mr Karume, saying that there was no any kind of discrimination extended to him at the time he was working with the international financial institution. Led by Mr Kesaria, the bank’s Managing Director, Mr Riskert Bade, told the court that Mr Karume was hired as a Corporate Director and was trained in Kenya, South Africa and United Kingdom, but he did not meet the expectations of his employer.

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