Nyarugenge Intermediate Court on Thursday, September 17, postponed the hearing of an appeal filed by FERWAFA president Fabrice Shema against his 30-day remand order.

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The appeal was postponed at the request of Shema’s defence team to allow it to finalise an agreement being negotiated with the prosecution.

Christophe Niyomugabo, Shema’s lawyer, asked the court to postpone the hearing, saying the two sides were working on the agreements.

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Prosecution said there were agreements between the prosecution and defence, but some processes still needed to be worked on.

The contents of the agreements were not disclosed in court.

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The judge postponed the case to September 23, when the appeal will resume.

Dispute over payment

The charges stem from a business transaction between Africa Medical Supplier, a company represented by Shema, and ABZL International General Trading LLC, a company based in the United Arab Emirates.

According to the prosecution, the two companies entered into agreements in January 2024, valued at approximately €1.9 million. Africa Medical Supplier was expected to make the required payments within 60 days.

In an earlier hearing, prosecutors told the court that the agreements were not fulfilled, resulting in a payment dispute and the subsequent issuance of two cheques.

The cheques were drawn on an I&M Bank account belonging to Africa Medical Supplier. Prosecutors said the bank informed investigators that the account held slightly more than $1,000 when inquiries were made.

Under the law, knowingly issuing a bouncing cheque constitutes an offence. A person convicted of issuing a bouncing cheque faces between two and five years in prison and a fine ranging from five to 10 times the amount stated on the cheque.

Shema denied the allegations and said Africa Medical Supplier had maintained a business relationship with ABZL, making substantial payments to the company.

He told the court that his company paid $400,000 in May 2024 through First Abu Dhabi Bank, in accordance with their agreement.

He said a second payment of $400,000 was made in December 2024 but was not received because the account provided by ABZL had developed a problem.

According to Shema, the agreement required ABZL to provide an alternative bank account if the original account could not receive the payment.

"We asked them to amend the agreement and give us another account. While we were discussing that, I gave them a cheque without a date,” he told the court.