South Sudan lawyers threaten to sue Equity Bank over cash shortages

JUBA – A South Sudanese law firm has given Equity Bank a seven-day deadline to release cash to its clients, accusing the lender of repeatedly failing to honour withdrawal requests and warning that it will take the dispute to court if the issue is not resolved.

Pan African Law Chambers LLP, acting jointly with Alliance Law Chambers, said in a demand notice dated Jan. 14 that its clients had on several occasions been told by Equity Bank’s Juba Main Branch that there was “no cash” available, despite what the lawyers described as lawful and documented requests.

The firms said the alleged shortage had disrupted legal work, caused financial losses and damaged their clients’ professional standing.

“The conduct complained of constitutes a fundamental breach of the banker-customer relationship,” the lawyers wrote, adding that their clients had been “unlawfully deprived of the full and unhindered enjoyment of their lawful banking rights”.

Cash shortages are a recurring problem in South Sudan’s fragile banking sector, where high inflation, currency volatility and weak liquidity have often limited access to physical cash, forcing businesses and individuals to delay payments and operations.

In the letter, the lawyers said the bank’s actions had impaired legal practice and obstructed legitimate institutional and personal obligations.

They warned that unless the matter was resolved within seven days of receipt of the notice, they would file a civil suit without further correspondence.

“Our instructions are clear and irrevocable to proceed with litigation,” the notice said.

The firms said the case would be handled by a 13-member legal team drawn from both chambers and that they would seek damages, interest and costs, including advocate’s fees listed at nearly $4 million.

They framed the planned lawsuit as a test of accountability in the financial sector, saying the action was grounded in constitutional guarantees of access to justice.

“No person or institution is above the law,” the lawyers said.

Equity Bank is yet to comment on the matter.