DERESU Proofread 1
Summary judgment is warranted where the defendant, after being duly served, fails to file leave to appear and defend, entitling the plaintiffs to the reliefs sought for statutory contributions and penalties.
Source-derived case information.
- Citation
- DERESU Proofread 1
- Parties
- Plaintiff: The Board of Trustees of the National Social Security Fund; Plaintiff: The Attorney General; Defendant: Juma Deresu Malunga t/a Golden Ridge High School
- Court
- TANZLII
- Jurisdiction
- Tanzania
- Judgment Date
- 30 January 2025
- Procedural Posture
- Civil Summary Suit / Final Judgment
- Outcome
- summary judgment for plaintiffs
- Legal Topics
- Compulsory Employee Contributions, Statutory Penalties, Summary Judgment
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
The Board of Trustees of the National Social Security Fund
Plaintiff
The Attorney General
Plaintiff
Juma Deresu Malunga t/a Golden Ridge High School
Defendant
Procedural Posture
Civil Summary Suit / Final Judgment
Legal Issues
- 1 Whether the defendant failed to remit compulsory employee contributions and penalties as required by law
- 2 Whether summary judgment should be entered due to defendant's failure to appear and defend
Ratio Decidendi
Summary judgment is warranted where the defendant, after being duly served, fails to file leave to appear and defend, entitling the plaintiffs to the reliefs sought for statutory contributions and penalties.
Court Disposition
summary judgment for plaintiffs
Orders
- Defendant to pay TZS 213,368,923/= (TZS 75,267,268/= unremitted contributions plus TZS 138,101,656/= penalties)
- Defendant to pay 7% court rate interest on the decretal amount from date of judgment until full satisfaction
Full Case Text
Judgment text and source record
1 paragraphs
IN THE HIGH COURT OF THE UNITED REPUBLIC OF TANZANIA SUB-REGISTRY OF GEITA AT GEITA CIVIL CASE NO. 2029 OF 2025 THE BOARD OF TRUSTEES OF THE NATIONAL SOCIAL SECURITY FUND ...........................................................1ST PLAINTIFF THE ATTORNEY GENERAL ..........................................................2ND PLAINTIFF VERSUS JUMA DERESU MALUNGA T/A GOLDEN RIDGE HIGH SCHOOL……..……………………………DEFENDANT SUMMARY JUDGMENT Date of last Order: 14/03/2025 Date of Judgment: 21/03/2025 K. D. MHINA, J. This is a summary suit involving the compulsory contribution of employees between the National Social Security Fund and the Attorney General [hereinafter to be referred to as the first and second plaintiff, respectively] against Juma Deresu Malunga t/a Golden Ridge High School [hereinafter to be referred to as the defendant] filed under Order 1|Page XXXV of the Civil Procedure Code [Cap 33 R.E. 2019] read together with section 74A (2) of the National Social Security Fund Act [Cap 50 R.E 2018] Brief facts which led to the institution of the suit as per the plaint are as follows; The defendant, a registered Private School in accordance with the provision of Part IV, Section 26 (3) of The National Education Act No. 25 of 1978, was registered as a contributing member of the Plaintiff with a Membership Certificate Registration Number 798320. By the law establishing the 1st plaintiff, the defendant is required each month to make its compulsory contribution and that of its employees at the rate of 10% and 10%, respectively, making a total of 20% of the (member) employee's wage. However, despite that obligation by the law, the defendant failed and defaulted to remit the members' contributions to the 1st plaintiff for some months and delayed remittance in some months, which attracted the imposition of the penalty. The defendant's breach of the above-mentioned statutory obligations 2|Page has led to the defendant to default remittance of members' principal contributions, amounting to TZS 75,267,268/= and penalties of TZS 138,101,656/= (covering various periods between January 2020 and June 2024), totalling TZS.213,368,923/= That breach caused, as required by the law, the plaintiff, on numerous occasions, demanded the defendant perform the said statutory obligation on remittance of members' contributions, but the efforts proved futile. The above facts triggered the plaintiffs' filing of this suit under a summary procedure to seek relief from this court. In the plaint, the plaintiffs prayed for; (i) Defendant be ordered to pay the sum of TZS 213,368,923/= being un-remitted members' contributions and penalties due and payable to Plaintiff by Defendant. (ii) Interest on the decretal sum at the Court rate of 7% from the date of delivery of Judgment until the same shall be fully satisfied; (iii) Cost of and incidental to the filing of the suit; and (iv) Any other and further relief as this Honorable Court shall deem fit and just to grant. 3|Page On 30 January 2025, this Court ordered the defendant to be served with a summons and to file an application for leave to appear and defend the suit (if he wishes) within 21 days, as per the law. As proof of service, the summons, which the plaintiffs filed in the JoT-eCMS on 24 February 2025, indicates that the defendant was served through his advocate, who duly signed, dated and stamped the summons to acknowledge receiving it. It was received on 11 February 2025. That means 21 days expire on 4 March 2025. When the suit was called on for hearing on 14 March 2025, Mr. William Mhina, State Attorney for the plaintiffs, informed this Court that the defendant had failed to file leave to appear and defend the suit, though he was duly served with the summons. Therefore, he prayed for summary judgment as per the reliefs contained in the plaint. From the above facts and a prayer by the State Attorney, on my side, the law is clear that when the defendant is served with the summons to file leave to appear and defend the suit but fails, the plaintiff, in terms of Order XXXV rule 2 (2) (a) and (b) of the CPC, is entitled to summary judgment as 4|Page prayed for in the plaint. See: CRDB Bank Limited vs. John Kagimbo Lwamhagaza [2002] TLR 117. In this matter, despite being served and receiving the summons to appear and defend the summary suit, the defendant failed to file an application for leave to appear and defend as per the requirement of the law. Therefore, in terms of Order XXXV Rule 2 (2) (a) and (b) of the CPC and section 74A (2) of the NSSF Act, Cap 50, I enter summary judgment for the Plaintiffs and proceed to decree as follows; a. The defendant is ordered to pay a total of TZS.213,368,923/=, which includes unremitted members' contributions of TZS 75,267,268/= plus accumulated penalties of TZS 138,101,656/= b. The defendant is ordered to pay a 7% court rate on the decretal amount from the date of delivery of the Judgment until its full satisfaction and c. Cost of this suit. It is so ordered. 5|Page K. D. MHINA JUDGE 21/03/2025 Court: The right to appeal explained. K. D. MHINA JUDGE 21/03/2025 6|Page