Dr. Philemon Mateke and Others v Ariyo Kazaara Gracious and Others (Petition No. 94322 of 2025)
Observed later treatment
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Holding
The Registrar of Companies has jurisdiction to hear petitions under Section 243 of the Companies Act Cap 106 and to rectify company registers under Regulation 8 of the Companies (Powers of the Registrar) Regulations. Petitioners challenging the legality of their removal as company members possess locus standi to petition the Registrar, even where their membership is disputed, as the challenge itself concerns oppressive conduct. The Registrar's power to rectify registers is concurrent with, not exclusive to, the High Court's jurisdiction under Section 121. Preliminary objections dismissed.
Outcome
Preliminary objections dismissed. Matter to proceed to hearing on the merits.
Facts
The petitioners are administrators of the estate of the late Sarah Nyirabashitsi Mateke, who held 45 shares in Metropolitan International University Limited at incorporation. The fourth petitioner, Tugume Isaac Warren, held 5 shares. After Sarah Mateke's death on 7 September 2024, resolutions were filed removing her as a director and forfeiting both her shares and those of Tugume Isaac Warren. The petitioners alleged these resolutions were based on forged signatures and filed without their knowledge or consent. A police forensic report indicated fabrication of signatures on a special resolution dated 22 January 2024. The petitioners sought rectification of the company register and an investigation into the company's affairs. Respondents raised preliminary objections challenging the petitioners' locus standi and the Registrar's jurisdiction, arguing that only the High Court could rectify the register under Section 121 of the Companies Act.
Issues
- Whether the Petitioners have locus standi to commence this Petition?
- Whether the Registrar of Companies has jurisdiction to adjudicate this matter?
- What remedies are available to the parties?
Orders
- Preliminary objections raised by Respondents' Counsel dismissed.
- No order as to costs.
Rules and key headnotes
Legislation cited (9)
- Companies Act Cap 106 s.243
- Companies Act Cap 106 s.121
- Companies Act Cap 106 s.45
- Companies Act Cap 106 s.274
- Companies (Powers of the Registrar) Regulations SI No. 71 of 2016 Regulation 8
- Companies (Powers of the Registrar) Regulations SI No. 71 of 2016 Regulation 20
- Companies (Powers of the Registrar) Regulations SI No. 71 of 2016 Regulation 26
- Companies (Powers of the Registrar) Regulations SI No. 71 of 2016 Regulation 27
- Companies (Powers of the Registrar) Regulations SI No. 71 of 2016 Regulation 32
Cases cited (9)
- Mukisa Biscuit Manufacturing Co Ltd v West End Distributors Ltd (1969) EA 696
- Law Society of Kenya v Commissioner of Lands and Others (Civil Case No. 464 of 2000)
- Dima Enterprises Poro v Inyani Godfrey (Civil Appeal No. 17 of 2016)
- Olive Kigongo v Mosa Courts Apartments (High Court Company Cause No. 01 of 2015)
- Re Five Minutes Car Wash Services Ltd [1966] 1 All ER 242
- Baku Raphael and Another v Attorney General (Supreme Court Criminal Appeal No. 1 of 2005)
- National Medical Stores v Penguins Ltd (High Court Civil Suit No. 29 of 2010)
- Bryan Xsabo Strategy Consultants (Uganda) Limited and 2 Others v Great Lakes Energy Company N.V (Company Cause No. 13 of 2020)
- Tumuhimbise v Turyamwijuka and 4 Others [2024] UGRSB 14
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.