Appendix — Grindlay's Bank (Uganda), Ltd. v. J. Zeevi & Sons, Ltd.

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Respondents’ Appendix 1

[EmBieM ]

GrinpLays Bank

(Ucanpa) 45 Kampana Roap

LIMITED P. O. Box 7131

(InNcorporatep in Ucanpa) Kampata, Ucanpa

TreLecraMs NationaL KAMPALA

TreLex 61018

TELEPHONE 59011

MAanaceEr’s OFFICE

17th April, 1972

PrivaTE AND CONFIDENTIAL

The Manager,

First National City Bank.,

399 Park Avenue.,

New York.

Dear Sir,

Our Letter of Credit No. 110/84 dated

24.3.1972 for U.S. $406846-80 favouring

J. Zeevi & Sons Haifa, Israel, advised

through Workers Bank, Haifa, Israel.

We confirm our telex messages dated 14th April, 1972

read as under :—

“GOVERNMENT OF UGANDA HAVE INSTRUCT-

ED US TO CANCEL OUR LETTER OF CREDIT

NO. 110/84 DATED 24-3-1972 FAVOURING J.

ZEEVI & SONS HAIFA ISRAEL FOR US $406846-80

ESTABLISHED THROUGH WORKERS BANK

nichts

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Respondents’ Appendix 1

HAIFA ISRAEL (STOP) DO NOT REPEAT DO

NOT EFFECT PAYMENT AGAINST DRAWING

US $40684-68 DUE TO BE PAID ON OR AFTER

15TH APRIL 1972 LETTER FOLLOWS”

“OUR TELEGRAM OF DATE REFERRING TO

CANCELLATION LETTER OF CREDIT NO. 110/

84 US $406846-80 ADD TESTWORD 23472 (STOP)

REFERENCE OUR INSTRUCTIONS NOT TO EF-

FECT PAYMENT OF DRAWING THEREUNDER

PLEASE ADD WORDS QUOTE WITHOUT REF-

ERENCE TO US FOR FURTHER INSTRUCTIONS

UNQUOTE”

Following the expulsion of all Israeli Nationals from

Uganda, the Bank of Uganda, on instructions from the

Uganda Government, have cancelled all existing permits

for purchase of Foreign Currency by Israeli Companies

which includes their approval for remittances under Let-

ters of Credit already opened by us. These instructions

have since been confirmed by the Minister of Finance.

In the circumstances we have had no alternative but to

instruct you not to reimburse drawings under the above

Letters of Credit but we are making effort to persuade

Government to permit us to honour commitments entered

into in good faith by this Bank.

We have arranged to discuss this matter with the Min-

ister of Finance and will advise you of the outcome.

Yours faithfully,

/s/ J.H.G. Henprre

MANAGER

(J.H.G. Henprte.)

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Respondents’ Appendix 2

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‘

GrinpLaAys Bank

(Ucanpa) 45 Kampata Roap

LIMITED P. O. Box 7131

(IncorporatTeD in UGanpa) Kampata, UGanpba

TELEGRAMS NATIONAL KAMPALA

Tevex 61018

TELEPHONE 59011

MANAGER’s OFFICE

5th May, 1972

PRIVATE AND CoNFIDENTIAL

The Manager,

The Workers Bank.,

HatIPa.,,

IsRAFL.

Dear Sir,

Our Letter of Credit No. 110/84 dated

24.3.1972 for U.S. $406846-80 favouring

J. Zeevi & Sons, Haifa, Israel.

We refer to our letter of the 17th April, 1972 and regret

to advise that we are still precluded by the Government of

Uganda, from making any payments under our above Let-

ter of Credit.

Representations have been made by us to the Ministry

of Finance and to the Bank of Uganda and we are advised

that the matter is still under consideration.

—_— eR FEASTS ANGE LOOT LI EOIN IT I EATS Ge AE RS

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Respondents’ Appendix 2

In the circumstances we have had no option but to in-

struct our agents in New York not to effect reimbursement

of the drawing due to be made on 15.5.1972 without further

reference to us.

Yours faithfully,

/3/ J.H.G. Henprr

MANAGER

(J.H.G. Henorte.)

c.c.

Messrs. J. Zeevi © Sons.,

P. O. Box 10104,

HatIPFaA,

IsRAEL.

EOD SRP FI OPT EN