Court dismisses case seeking to block MTN share listing 

The Civil Division of the High Court has dismissed an application in which lawyer Male Mabirizi had sought to block MTN from listing its shares at the Uganda Securities Exchange (USE). 
In a case filed against Capital Markets Authority (CMA), Mabirizi had argued against the decision to approve MTN’s prospectus in which the telecom floated 4.5b ordinary shares to the public.
Mr Mabirizi had sought court to compel CMA to cancel its decision with orders prohibiting implementation of any further activity regarding the MTN Initial Public Offering. 

He had also supported his application with an affidavit reasoning that CMA had not promptly carried out its duties thus failing to discover that MTN is a private company, which cannot issue a prospectus and the shares listed did not belong to MTN International. 

Therefore, he argued, the scheme to float shares was only intended at repatriating Ugandans’  resources. 
However, in a November 26 ruling, Justice Philip Odoki, reasoned that although Mr Mabirizi had stated that he had sufficient interest in the matter, he did not show any connection between him and CMA beyond what other members of the public have.
“He did not plead nor prove that he had been prejudicially affected or will be affected by the decision of CMA. He did not state that he had subscribed for the impugned shares or intends to do so,” Justice Odoki held, explaining that he had carefully examined the powers and duties of CMA under the Capital Markets Authority Act and did not find a clause that gives Mr Mabirizi any express right to complain of an alleged unlawful act or omission.

According to the ruling, in deciding whether the application for judicial review had sufficient interest in the matter to which the application related, the court’s hearing had taken into account, the nature of the applicant, the extent of which his interest in the issues raised, the remedy which he sought to achieve and the nature of relief sought.   
Justice Odoki ruled that Mr Mabirizi’s submissions that had alleged that the decision would affect the public was unfounded on any laws governing judicial review in Uganda.

court ruling         
Court ruled that it is only persons, if at all there are affected, who have a basis in law to file application. The ruling also noted that other than that, the Judge had found that Mr Mabirizi had failed to neither plead nor prove that he has any direct interest in the matter therefore having no basis in law to institute the application.