20020604 TZHC Dar es Salaam

\ '1\ ·:1 i\ \,I " OF TANZ!-1.:t-IIA IN THE HIGH COURT i AT DAR ES SADAAM I . CIVIL CASE NOo 1''20 OF 1999 / :!\ PENFORD MAKIWA • o . . . . . . . . o • • • It •. •/• ••• I) o •••••• o PLA.IN'l'IFF VEHSUS ':\ TANZANIA CASHEWNUTS M!-1.RKETING BOARD ••• o •• o o DEFENDANT I _____ \\ R U L I N G, .. i\ IHEMA,J. ~ C In the present suit Penford Mak~wa 1filed a plaint containing ;I a number of reliefs from the defendant the Cashewnut Board of 1 Tanzania which upon being served fil 'kd its written statement of defence. Subsequently thereafter the~defendant upon application was granted leave to file a Third Party Notice to join the ' National Insurance Corporation as a third part~ to the suit. :\ . . ':\ . On being served with the Third Party Netice, National Insurance Corporation through the services of Ms~mwa & Co. Advocates filed a Notice of preliminary obje·ction on a pbints of law among others ,\ namely 0 having been declared a specifi~d public corporation the Third party/claim was··wrongly• prefered. and dcies, not- dascJ..ose any cause of ,1 action against the third party. 11 i\ .,',\ ~ ', " ........ ,.. ,. ~ Ii The parties with leave of the court submitted their written I arguments for and against the preliminary objection. I am grateful for their lega16}Jls in this regar9-. :\ , .. ~-- This court has on sever: .. --~:... ...... ·, :c~ ~~J taken the view that 11 once~ a company is declared a spe~ified 1~ublic corporation as from .' . ' ~\ the effectiv~ -~ate it ceases to have sub~tantial p~wers in t~e ,1 n • - determination o·f its affairs as since po_wers are statutory vested in the Parastatai Sector Refo;m CorrimissiAn (PSRC)J' The pr~visions ,· .. ·' , . . ' · l . , 0 or' Sect ion 9 ( 1) of -th_e Bankruptcy Ordinance and ·section 43 qf t!le i \~ _-. ;: , ~' • Public Corpcvation_ Act as amended ~-:ne into play requiring that the I\ . i\ ' ,, Parastatal Sector Refo~m Commission be joined after leave of the i\ court has been sought and grante_d. :.1 ! - 2 - On these premises while the Third party notice would indeed disclose a cause of action but it would remain unmaintenable unless and until leave is sought and granted to join the Parastatal Sector Reform Commission the statutory receiver of the National Insurance Corporation a specified public corporation. Accordingly the preliminary objection is sustained and the Third Party Notice is struck out with costs. It is so ordered. ..' \(J., C·, · ~~< So IHEMA JUDGE 4/6/2002 Coram: Wambura DR H/C For the Plaintiff ~haent tiogh(For the Defendant fio~ur (For the 3rd Party CC: Komba Court: Ruling delivered in opem chamber this 4th day of June 2002, at the prese_ne of ~Ir Victo:r: and in 1 th~ absence of the other parties thogh ~hey w~re notifiedo ..DISTRICT .REGISTAR