Section 13 of Insolvency Act CAP 53: Nature of bankruptcy

A debtor who is insolvent may as an alternative to bankruptcy— (a) enter into a voluntary arrangement in accordance with Division I of Part IV; (b) make a proposal to creditors in accordance with...

(1) A bankruptcy application may be made to the Court in accordance with the provisions of this Part— (a) by one of the person's creditors or jointly by two or more one of them; (b) by the debtor;...

(1) A bankruptcy application may not be withdrawn without the approval of the Court. (2) The Court has a general power to dismiss a bankruptcy application or to stay proceedings on such an...

(1) One or more creditors of a debtor may make an application to the Court for a bankruptcy order to be made in respect of the debtor in relation to a debt or debts owed by the debtor to the creditor...

(1) A debt that is the debt, or one of the debts, in respect of which a creditor's application is made need not be unsecured if either— (a) the application contains a statement by the person having...

If a creditor's application is made wholly or partly in respect of a debt that is the subject of a statutory demand, the application may be made before the end of the twenty-one day period referred to...

(1) The Court may not make a bankruptcy order on a creditor's application unless it is satisfied that the debt, or one of the debts, in respect of which the application was made is either— (a) a debt...

(1) A creditor who makes an application for a bankruptcy order in respect of a debtor may not issue an execution process against the debtor in respect of the property of the debtor to recover a debt...

(1) After a creditor's application has been made, the debtor or any creditor may apply to the relevant court for an order stopping the issue or continuance by any other creditor of an execution...

(1) This section applies if an execution process has been issued by a court other than the High Court. (2) If it is proved to the issuing court that an application for a bankruptcy order in respect...

The restrictions in sections 21 to 23 on issuing or continuing an execution process do not apply if an application is withdrawn or dismissed.

(1) The Court may make a bankruptcy order in respect of the debtor if the creditor has complied with section 7. (2) The Court may refuse to adjudge a debtor bankrupt if— (a) the applicant creditor...

The Court may, at any time, stay an application by a creditor for bankruptcy on such terms, and for such period, as the Court considers appropriate.

(1) If there is more than one bankruptcy application in respect of a debtor, and one application has been stayed by an order of the Court, the Court may, if it believes there is a good reason to do...

If an application made by a creditor for a bankruptcy order relates to more than one debtor, the Court may refuse to make such an order in respect of one or some of the debtors without affecting the...

(1) This section applies if a debtor— (a) has made a disposition of all, or substantially all, of the property of the debtor to a trustee for the benefit of the creditors of the debtor; (b) has...

(1) This section applies if a debtor appears in opposition to a creditor's application and the debtor claims that the debtor— (a) does not owe a specified debt to the creditor; or (b) owes a...

In the case of a creditor's application, the Court may substitute another creditor for the creditor making the application if— (a) the applicant creditor has not proceeded with due diligence, or at...

(1) A debtor may make an application to the Court for an order adjudging the debtor bankrupt only on the grounds that the debtor is unable to pay the debtor's debts. (2) The Court may decline to deal...

(1) Subject to section 34, on the hearing of a debtor's application, the Court may not make a bankruptcy order if it appears to the Court— (a) that if a bankruptcy order were made the total amount of...

(1) The insolvency practitioner appointed under section 33 shall— (a) inquire into the debtor's financial affairs; and (b) within such period as the Court may specify, submit a report to the Court...

Two or more debtors, who are partners in a business partnership, may make a joint application under section 32.

(1) After a creditor's application has been made, the creditor or any other creditor of the debtor may apply to the Court for an order for the appointment of an authorised insolvency practitioner as...

(1) After the appointment of an interim trustee under section 36, the Court may, on an application made under subsection (2), make additional orders under that section. (2) An application for the...

(1) As soon as practicable after the appointment of an interim trustee, the trustee shall publish a notice of the appointment— (a) in one or more newspapers circulating in Kenya; and (b) in such...

(1) A creditor of the debtor may not issue an execution process under section 23 after notice of the appointment of the interim trustee has been published. (2) A creditor may not continue an...

If execution is stayed under section 39, sections 109, 110, 111, 112, 113, 114 and 116 apply as if the order staying execution were a bankruptcy order.

A bankruptcy under this Act commences on the date and at the time when a bankruptcy order is made in respect of the debtor.

(1) On making a bankruptcy order, the Court shall record the date and time when the order was made. (2) If the debtor is adjudged bankrupt on the application of the debtor, the Official Receiver...

As soon as practicable after the Court has made a bankruptcy order in respect of a debtor, the Registrar of the Court shall forward a copy of the order to the Official Receiver.

(1) As soon as practicable after receiving a copy of a bankruptcy order, the Official Receiver shall nominate a qualified person to be bankruptcy trustee in respect of the debtor's property. (2) In...

If a doubt arises as to whether an act was done, or a transaction entered into or made, before or after the time when a bankruptcy commenced, it is to be presumed, until the contrary is proved, that...

A bankruptcy order becomes binding on the bankrupt and all other persons— (a) on the expiry of the time within which an appeal may be lodged against the order; or (b) if an appeal is lodged in...

(1) The Official Receiver shall establish and maintain a public register of undischarged and discharged bankrupts. (2) The Official Receiver shall maintain the register in accordance with Division 2...

(1) When a bankruptcy order commences— (a) all proceedings to recover the bankrupt's debts are stayed; and (b) the property of the bankrupt (whether in or outside Kenya), and the powers that the...

(1) Within thirty days after receiving notice of a bankruptcy order, the Official Receiver shall serve on the bankrupt a notice— (a) stating that a bankruptcy order has been made in respect of the...

(1) Within fourteen days after being served with the notice in accordance with section 49 (or within such extended period not exceeding sixty days as the Official Receiver may allow), the bankrupt...

(1) A person who in writing claims to be a creditor of the bankrupt is entitled, at all reasonable times (either personally or through an agent— (a) to inspect the statement of the bankrupt's...

(1) The Official Receiver shall, subject to subsection (5), convene the first meeting of the bankrupt's creditors within the prescribed period, unless the Official Receiver decides, in accordance with...

(1) The Official Receiver may decide not to convene a first creditors' meeting if the Official Receiver— (a) has sent to each creditor named in the statement of the bankrupt's financial position, and...

(1) The Official Receiver shall send the following documents with the notice of the first meeting of creditors— (a) a summary of the bankrupt's statement of assets and liabilities; (b) extracts...

(1) If, in the case of a bankruptcy, the Official Receiver has not yet convened a first meeting of creditors, or has decided not to convene such a meeting, any creditor of the bankrupt may request the...

(1) A creditor may not begin or continue an execution process in respect of the bankrupt's property or person for the recovery of a debt provable in the bankruptcy, after the Official...

If a bankrupt dies after being adjudged bankrupt, the bankruptcy continues in all respects as if the bankrupt were still alive.

The role of the creditors in the bankruptcy primarily— (a) to attend meetings of the creditors; (b) to submit proofs of the debts of the bankrupt; and (c) to examine the bankrupt at those...

(1) The power to appoint a person as a bankruptcy trustee in respect of a bankrupt's estate, or to fill a vacancy in such an appointment, is exercisable— (a) except as provided by paragraph (b) or...

(1) If a meeting convened under section 52 or 55 is held but no one is appointed as bankruptcy trustee, the Official Receiver shall decide whether or not there is a need to make such an...

(1) The Official Receiver may, at any time while acting as bankruptcy trustee in respect of a bankrupt's estate under a provision of this Division (other than section 62), appoint another qualified...

(1) If a bankruptcy order is made when there is a supervisor of a summary instalment order approved in relation to the bankrupt under Division 2 of Part IV, the Court may, if it considers it...

(1) A bankruptcy trustee may— (a) with the approval of the creditor's committee, exercise of any of the powers specified in Part 1 of the First Schedule; and (b) without that approval, exercise any...