The first Appellant was an employee of the second Appellant, CRDB Bank, while the Respondent was a former employee of the second Appellant. The first Appellant accused the Respondent of stealing a computer. He reported the theft to the Police. A police officer came to the office and was informed by the first Appellant that it was the Respondent who was responsible for the theft of the computer. This statement was made to the Police in the presence of other employees at the Bank. Eventually, the Respondent was arrested and confined overnight. After being released from custody, the Respondent sued for the tort of defamation and claimed general damages to the tune of Shillings 800,000,000/-. The High Court awarded Tanzanian Shillings 134,284,500/- as general damages (equivalent to his seven years’ salary at his last scale) for malicious prosecution; 15,000,000/- million as general damages for slander, punitive damages of Tanzanian Shillings 199,000,000/- million to be paid by the first Respondent without interest. The Appellant was aggrieved by this decision and appealed to the Court of Appeal of Tanzania on the basis of many grounds the gist of which he disputed the liability.