Ally Kharbush and Others vs CRDB and Others (Civil Case No. 83 of 1996) [1999] TZHC 159 (12 April 1999)

IN THE HIGH COURT OF TANZANIA (DAR ES SALAAM DISTRICT REGISTRY) AT DAR ES SALAAM CIVIL CASE NO. 83 OF 1996 ALLY KHARBUSH AND 4 OTHERS iversus PLAil 1 "TIFFS CRDB AND 4 OTHERS • • • • • • • • • • • • • • • • • • • • • • • • • • DEFE:NDA.t'JTS RULING CHIPETA 1 J ~ : In this case, the five plaintiffs, namely, Ally Kharbush, Amran Songoro, Sharifa KiJe::::le, and Abdu Mbonc.e, are suing the four defendants, namely, Mehbub Manji, Quality Group Limited (as successor of Quality Garage Limited), Principal Secretary The Treasury, and the Attorney General, for various reliefs, among them be.i..ng cancellation of loans from C.R.D.B, payment of loans to C.R.D.B. by the defendants, refund of equity contributions towards the purchases by the plaintiffs of motor vehicles from the first and second defendants, and compensation for loss of business. As I understand the plaint, it is being alleged that the first and second defendants fraudulently sold motor vehicles to the plaintiffs whicr motor vehicles were substandard and'so did not perform as warranted, and that the first and second defendants were given import support funds by th0 Government to import the motor vehicles.

• 2 The defendants have raised preliminary objections on points of law. The first preliminary objection is that,,of the first and secrnd defendants which is that there has been a misjoinder of the first and second defendants. Quite frankly, this preliminary objection is frivolous. Paragraph two of the plaint leaves no doubt as to the rlationship between the two defendants. For the same reason, the preliminary objection that there is no cause of action against the first defendant is ,•equally frivol-;;us. ' As to cause of action against the first and second defendants, it hae been alleged that these two defendants are guilty of fraud in the transact !.on .. p-- That is the basis of the cause of action against them. \ I now turn to the preliminary objections raised by the third and four :;h defendants. The first objection is' that the plaintiffs have no cause of action against the third and fourth defendants. I note that the complaint of 'the pla:;.ntif.':s is that the Government ,, provided import support funds to the first and second defendants who misused those funds. The ]_.,:'...aintiffs' ccnc0d1:: that the third and fourth defendants were in no way involved in the manufacture, purchase, selling, or distribution of the motor vehicles. So, the mere allegation that the Government failed to supervise use, of funds made available to the first and second defendants is too remote to attract Government liability in transactions between the plaintiffs and the first and second defendantsa I am accordingly of the view that the plaintiffs have no cause of action against the third and fourth defendants There is also merit in the submission tha+: the plaintiffs did not sign the plaint and that the verification is defectivee On the basis of the foregoing, the pre::.iminary objections by the first and second defendants ar~ hereby dis~issed, and costs shall be in the cause. As there is no cause of action against the third and fourth defendants, the suit against them is hereby dismissed with ·costs.

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.. j 3 . . The plaint shall be returned to :the plaintiffs who are ordered to make the necessary corrections. It is so ruledo 't • . ; I Yir:/ r l · /.:?:, 12/4/99: Coram: Ruhangisa DR, :· . ., Bo D. CHIPETA JUDGE Mr. Nyange: for the Plaintiffs . (for the 1st Defendant Mr Chandoo . (for the 2nd Defendant " Mr Ngwembe (for the 3rd Defendant (for the 4th Defendant CC; Lazarous /• Court: Ruling read in Chan~~ -:·s in t.1:':l prese?1.ce of Mr o Nyange for Plaintiffa ,. Mr. Ngwembe for 3rd and 4th iDefendants and Mr., Chandoo for 1st and 2nd defendants. Mr. Chanq_<?_: I pray for a copy of the rulingo · Court: Pr ayer granted o Mr o N1an: Iv1ay a Copy of plaint be returned to us. Order: Mro Chandoo be supplied with copy of ruJ.ingo Amended plaint be filed on or by ·16/4/99., Amended Defence be filed on 1 or by 7/5/990 ,, Mention in chamber for pre-trial Conference 12/5/99. (Sgd): Jo E •. RUHANGISA DISTRICT REGISTRAR 12/.1;/'; ~99