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Tanzania Judgment

TZHCCOMD

admistrator general vs dr peter jonas chitamu 2 others 2023 tzhccomd 75 10 march 2023

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Source document

01

Holding and result

The applicant demonstrated sufficient cause for extension of time, and there was no objection from the respondents; thus, the court exercised its discretion to grant the extension.

Court disposition

Application granted

Orders

  • Extension of time to file statement of proposals before the Registrar of Companies granted; to be filed within 90 days from the date of the order.
  • Applicant to ensure all matters regarding the 3rd respondent's shareholding are addressed to avoid further litigation and stalemate.
  • No order as to costs.

02

Material facts

Parties

Administrator General

Applicant Counsel: Samwel Cosmas Mutabazi

Dr. Peter Jonas Chitamu

1st Respondent

Mary Bundala

2nd Respondent Counsel: Nelson Bundala (representative)

First Seal Company Ltd

3rd Respondent

Amounts and remedies

  • Time Granted for Filing Statement of Proposals: 90

03

Procedural history

  1. Posture

    Miscellaneous Commercial Application / Ruling on Application for Extension of Time

04

Questions and positions

Legal issues

Whether the applicant has demonstrated sufficient cause for extension of time to file a statement of proposals with the Registrar of Companies

Party arguments

Applicant
The applicant sought extension of time to file a statement of proposals with the Registrar of Companies, citing demonstrable causes and supported by affidavit and legal provisions.
Respondent
The respondents did not object to the applicant’s prayers.

05

Court’s reasoning

  1. 01

    Section 14(1) of the Law of Limitation Act, Cap.89 R.E 2019

    Court's discretion to extend time upon demonstration of sufficient cause.

  2. 02

    Section 261 of the Companies Act, Cap.212 R.E 2019

    Powers of the court in matters of company administration and insolvency.

  3. 03

    Rule 502(2) of the Companies (Insolvency) Rules G.N 43 of 2005

    Procedural requirements for insolvency applications.

06

Ratio, limits and disposition

Ratio decidendi

The applicant demonstrated sufficient cause for extension of time, and there was no objection from the respondents; thus, the court exercised its discretion to grant the extension.

Obiter and limits

  • The applicant is ordered to ensure all pertinent matters pertaining to the shareholding of the 3rd respondent are effectively addressed to avoid further litigation and stalemate within the company.

Court disposition

Application granted

  • Extension of time to file statement of proposals before the Registrar of Companies granted; to be filed within 90 days from the date of the order.
  • Applicant to ensure all matters regarding the 3rd respondent's shareholding are addressed to avoid further litigation and stalemate.
  • No order as to costs.

Source and reliance status

TZHCCOMD · 10 March 2023

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Judgment text

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Source document

TZHCCOMD

Judgment· 10 March 2023

admistrator general vs dr peter jonas chitamu 2 others 2023 tzhccomd 75 10 march 2023

IN THE HIGH COURT OF UNITED REPUBLIC OF THE

TANZANIA (COMMERCIAL DIVISION) AT DAR-ES-SALAAM MISC. COMMERCIAL APPLICATION NO. 4 OF 2023 (Arising from Misc. Commercial Appl. No.195/2021, and Misc. Comm. Appl. No. 45/2019) IN THE MATTER OF THE COMPANIES ACT (CAP.212 R.E 2002) AND IN THE MATTER OF DOVETEL (T) LTD t/a SASATEL TANZANIA (IN ADMINISTRATION)

AND

IN THE MATTER OF APPLICATION BY ADMINISTRATOR

GENERAL FOR EXTENSION OF TIME FOR ADMINISTRATION

BETWEEN ADMINISTRATOR GENERAL………………………………….APPLICANT

VERSUS DR. PETER JONAS CHITAMU ………….……….....1ST RESPONDENT MARY BUNDALA………………………………..........2ND RESPONDENT FIRST SEAL COMPANY LTD...........................3RD RESPONDENT

RULING Last order: 06/03/2023 Ruling: 10/03/2023 NANGELA, J.,: The Applicant herein brought this application under Section 14(1) of the Law of Limitation Act, Cap.89 R.E 2019, Section 261 of the Companies Act, Cap.212 R.E 2019 and Rule Page 1 of 4 502 (2) of the Companies (Insolvency) Rules G.N 43 of 2005. The Application, which was brought by way of a chamber summons is supported by an affidavit of Mr. Samwel Cosmas Mutabazi, learned State Attorney, seeks for the following orders: 1. That, this honourable Court be pleased to extend the time within which a Statement of Proposals may be filed with the Registrar of Companies out of time.

2. That, the Court be pleased to issue any other relief as it may deem just, fit and equitable to grant. On 2nd March 2023, the Applicant made appearance through her Representative, Mr. SamwelMutabazi, learned State Attorney. The 1st Respondent appeared in person while the 2nd and 3rd Respondents were absent. This Court could not proceed in the absence of the two Respondents since there was no proof that they were served. The matter was rescheduled for hearing on the 06th March 2023. On the material date, Mr. Page 2 of 4 Samwel appeared for the Applicant. The 1 st Respondent appeared in person while the 2nd Respondent’s representative in the name of Nelson Bundala appeared in Court. The Respondents did not object to the applicant’s prayers. Upon my perusal of the chamber summons, the affidavit and the enabling provisions of the law, I find that, there are demonstrable causes regarding why this Court should exercise its discretion and grant the prayers sought. In view of the above, this Court settles for the following orders: 1. That, the prayer to extend the time within which a Statement of Proposals may be filed before the Registrar of Companies out of time is hereby granted. The same be filed within 90 days from the date of this Order.

2. That, since the Applicant has prayed for any other reliefs the Court deems just, fit and equitable, the Applicant is hereby Page 3 of 4 ordered to ensure that all pertinent matters pertaining the shareholding of the 3rdRespondent are effectively taken on board to avoid any further litigation and stalemate within the Company.

3. This Court makes no orders as to costs. It is so ordered. DATED AT DAR-ES-SALAAM ON THIS 10THDAY OF MARCH 2023 ...................................

DEO JOHN NANGELA

JUDGE Page 4 of 4

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Authorities

Authorities used by the court

Cases, legislation, regulations, and constitutional provisions identified in the available record.

Law of Limitation Act, Cap.89 R.E 2019

Legislation

Legislation referenced in the available case record.

Companies Act, Cap.212 R.E 2019

Legislation

Legislation referenced in the available case record.

Companies (Insolvency) Rules G.N 43 of 2005

Legislation

Legislation referenced in the available case record.

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