Arusha. The High Court of Tanzania in Mwanza Sub-Registry has ordered the trustees of Progressive Islamic Education Foundation, operators of Bismack Pre and Primary School, to pay more than Sh363.6 million to the National Social Security Fund (NSSF) over unpaid workers’ contributions and related penalties.
The ruling, delivered on Friday, June 12, 2026, by Justice Emmanuel Ngigwana, followed a suit filed by the NSSF Board of Trustees and the Attorney General against the education institution.
The court found that the defendant failed to file a defence or seek leave to contest the claim within the period prescribed by law, prompting the matter to be determined through summary procedure.
According to the judgment, the institution must pay more than Sh187 million in statutory employee contributions that were not remitted to NSSF between January 2018 and February 2024.
It was also ordered to pay more than Sh176.6 million in penalties and additional contributions arising from delayed remittances.
The court further awarded interest at seven percent per annum from the date of judgment until full settlement, in addition to legal costs.
NSSF told the court that the institution, a registered contributing employer, had failed to meet its legal obligation to remit employees’ social security contributions despite repeated follow-ups and demand notices.
Justice Ngigwana said documents submitted by the claimants, including the employer’s registration certificate, audit reports, schedules of unpaid contributions and demand letters, sufficiently proved the existence of the debt.
“The plaintiffs have proved that the defendant, as a registered employer with NSSF, failed to fulfil its legal obligation to remit employees’ contributions,” the court held.
The court agreed that the delayed remittances had affected NSSF’s statutory mandate to collect and safeguard workers’ contributions for future benefits.
In the absence of any defence from the institution, the court entered judgment in favour of NSSF and ordered payment of the full amount together with interest and costs.
