RULING
1. The Applicant: Reliable Freight Services Limited, moved the Court by a Notice of Motion dated 24 th August 2026, brought inter alia under sections 888 of the Companies Act 2015, sections 1A,1B and 3A of the Civil Procedure Act, Order 51 of the Civil Procedure Rules seeking an order extending time for presentation of a Further Supplemental Charge dated 16 th July 2026 at the Companies Registry.
2. The application is supported by the affidavit of Dhanvantai Maru sworn on 24 th August 2026.
3. The grounds advanced are that, the time for registration of the further supplemental charge expired on 15 th August 2026 thereby exposing the same to be rendered void.
4. That the delay in presenting the further supplemental charge for registration at the Companies Registry was not deliberate since the Deed file at the Nairobi Land’s Registry was missing and the same had to be traced before the further supplemental charge could be registered at the Nairobi Land’s Registry and subsequently at the Companies Registry.
5. That after following up at the Nairobi Land’s Registry, the missing deed file was traced which allowed the registration of the further supplemental charge.
6. That unless the application is allowed the further supplemental charge will be rendered void and thereby occasion loss to the applicant.
7. Annexed to the supporting affidavit of Dhanvantai Maru is a certificate of incorporation No. C.49006 and a copy of the further supplemental charge.
8. I have considered the application, the supporting affidavit and annexures thereto.
9. The provisions of section 888 of the Companies Act empower the Court, where it is satisfied that the failure to register a charge within the prescribed period was accidental, due to inadvertence or some other sufficient cause and where no prejudice would be occasioned to creditors or members of the company, to extend time for registration on such terms as it considers just.
10. In National Bank of Kenya Ltd -vs-Michael Ndungu (2018) eKLR, it was held that where a delay is explained, and no third-party interests are prejudiced, the Court should favour the perfection of substantive security interests over procedural technicalities.
11. The evidence before this court is that the further supplemental charge was executed and registered at the Lands Registry within time but was not subsequently presented for registration at the Companies Registry within the prescribed statutory period.
12. The reason proffered by the Applicant is that it was unable to submit the further supplemental charge for registration on the Director’s E citizen account since the Deed file at the Nairobi Land’s Registry was missing and the same had to be traced before the supplemental charge could be registered at the Nairobi land’s registry and subsequently at the Companies Registry which prevented them from complying with the statutory period.
13. In the circumstances, I cannot discern a deliberate attempt to disregard the law or any intention to defeat the rights of creditors, members or third parties on the part of the Applicant.
14. On the other hand, failure to grant the orders sought may expose both the Chargee and Chargor to unnecessary prejudice given that the security documentation requires complete registration in the relevant registries to achieve its intended legal effect.
15. I am satisfied that the delay has been sufficiently explained and that it is an appropriate case for the exercise of discretion under section 888 of the Companies Act in favour of the Applicant.
I therefore order as follows:
A. The Notice of Motion dated 24 th August 2026 is hereby allowed:
B. The Further Supplemental Charge dated 16 th July 2026 shall be lodged for registration at the Companies Registry within 30 days from the date of this ruling:
C. The Applicant shall bear costs of the application.
D. The file to be marked as closed.
Dated, signed and delivered at Mombasa this 25 th day of August 2026
1. The Applicant: Reliable Freight Services Limited, moved the Court by a Notice of Motion dated 24 th August 2026, brought inter alia under sections 888 of the Companies Act 2015, sections 1A,1B and 3A of the Civil Procedure Act, Order 51 of the Civil Procedure Rules seeking an order extending time for presentation of a Further Supplemental Charge dated 16 th July 2026 at the Companies Registry.
2. The application is supported by the affidavit of Dhanvantai Maru sworn on 24 th August 2026.
3. The grounds advanced are that, the time for registration of the further supplemental charge expired on 15 th August 2026 thereby exposing the same to be rendered void.
4. That the delay in presenting the further supplemental charge for registration at the Companies Registry was not deliberate since the Deed file at the Nairobi Land’s Registry was missing and the same had to be traced before the further supplemental charge could be registered at the Nairobi Land’s Registry and subsequently at the Companies Registry.
5. That after following up at the Nairobi Land’s Registry, the missing deed file was traced which allowed the registration of the further supplemental charge.
6. That unless the application is allowed the further supplemental charge will be rendered void and thereby occasion loss to the applicant.
7. Annexed to the supporting affidavit of Dhanvantai Maru is a certificate of incorporation No. C.49006 and a copy of the further supplemental charge.
8. I have considered the application, the supporting affidavit and annexures thereto.
9. The provisions of section 888 of the Companies Act empower the Court, where it is satisfied that the failure to register a charge within the prescribed period was accidental, due to inadvertence or some other sufficient cause and where no prejudice would be occasioned to creditors or members of the company, to extend time for registration on such terms as it considers just.
10. In National Bank of Kenya Ltd -vs-Michael Ndungu (2018) eKLR, it was held that where a delay is explained, and no third-party interests are prejudiced, the Court should favour the perfection of substantive security interests over procedural technicalities.
11. The evidence before this court is that the further supplemental charge was executed and registered at the Lands Registry within time but was not subsequently presented for registration at the Companies Registry within the prescribed statutory period.
12. The reason proffered by the Applicant is that it was unable to submit the further supplemental charge for registration on the Director’s E citizen account since the Deed file at the Nairobi Land’s Registry was missing and the same had to be traced before the supplemental charge could be registered at the Nairobi land’s registry and subsequently at the Companies Registry which prevented them from complying with the statutory period.
13. In the circumstances, I cannot discern a deliberate attempt to disregard the law or any intention to defeat the rights of creditors, members or third parties on the part of the Applicant.
14. On the other hand, failure to grant the orders sought may expose both the Chargee and Chargor to unnecessary prejudice given that the security documentation requires complete registration in the relevant registries to achieve its intended legal effect.
15. I am satisfied that the delay has been sufficiently explained and that it is an appropriate case for the exercise of discretion under section 888 of the Companies Act in favour of the Applicant.
I therefore order as follows:
A. The Notice of Motion dated 24 th August 2026 is hereby allowed:
B. The Further Supplemental Charge dated 16 th July 2026 shall be lodged for registration at the Companies Registry within 30 days from the date of this ruling:
C. The Applicant shall bear costs of the application.
D. The file to be marked as closed.
Dated, signed and delivered at Mombasa this 25 th day of August 2026