In Re The Companies Act Cap. 110 & In Re An Application by Standard Chartered Bank Uganda Limited to extend the time within which to register Particulars of a Charge (Misc. Companies Cause No. 49 of
Observed later treatment
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Holding
The High Court granted an ex parte application by Standard Chartered Bank to extend time for registering a mortgage charge executed on 23 September 2008. The court exercised its discretion under section 102 of the Companies Act, finding the omission to register was innocent inadvertence and extension would not prejudice shareholders or creditors. The charge was to be registered within 42 days from the date of the ruling.
Outcome
Extension granted for registration of charge within 42 days from date of ruling
Facts
Standard Chartered Bank Uganda Limited executed a mortgage on 23 September 2008. The mortgage was registered in the Land Registry on 17 October 2008 but was never registered with the Registrar of Companies within the 42-day statutory period prescribed by section 96 of the Companies Act. The bank applied ex parte to extend the time for registration under section 102 of the Companies Act. The affidavit in support indicated that the failure to register was inadvertent and that extension would not prejudice the company's shareholders, creditors, or the bank's creditors.
Issues
- Whether the court should exercise its discretion to extend time for registration of a charge beyond the 42-day statutory period.
Orders
- Application granted.
- The charge in question shall be registered within 42 days from today.
- No order as to costs.
Rules and key headnotes
Legislation cited (2)
- Companies Act Cap.110 s.96
- Companies Act Cap.110 s.102
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.