Section 659 of Insolvency Act CAP 53: Withdrawal of monitor's consent to act
(1) Except with the approval of the Court, a provisional supervisor may withdraw consent to monitor a moratorium only if, during the moratorium—
(a) the monitor concludes that the company will not have sufficient funds available to it during the remainder of the moratorium to enable it to continue to carry on its business;
(b) that supervisor becomes aware that the company was not, on the lodgement date, eligible for a moratorium; or
(c) the directors fail to comply with their duty under section 658(2).
(2) The reference in subsection (1)(a) to the company's business is to the business that the company proposes to carry on during the remainder of the moratorium.
(3) If the monitor's consent is withdrawn, the moratorium ends.
(4) Within seven days after withdrawing consent, the monitor shall—
(a) give to the company and any creditor of whose claim that monitor is aware a notice of withdrawal of consent together with a statement of reasons for the withdrawal; and (b) lodge a copy of that notice with the Registrar for registration.
(5) Deleted by Act No. 1 of 2021
(6) A monitor who, without reasonable excuse, fails to comply with a requirement of subsection (4) commits an offence and on conviction is liable to a fine not exceeding two hundred thousand shillings.
(7) If, after being convicted of an offence under subsection (6), a monitor continues to fail to comply with the relevant requirement, that monitor commits a further offence on each day on which the failure continues and on conviction is liable to a fine not exceeding twenty thousand shillings for each such offence.
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