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Browse Acts ↓(1) The liquidator, or a contributory or creditor, may apply to the Court to determine any question arising in the liquidation of a company, or to exercise, with respect to the enforcing of calls or any other matter, all or any of the powers that the Court might exercise if the company were being li…
(1) If, in the case of a company that is in voluntary liquidation, a liquidator has not been appointed or nominated by the company, the directors may exercise their powers only— (a) with the approval of the Court; or (b) in the case of a creditors' voluntary liquidation, so far as may be necessary t…
The voluntary liquidation of a company does not prevent a creditor or contributory from seeking to have the company liquidated by the Court, but in the case of an application by a contributory, the Court is required to be satisfied that the rights of the other contributories will not be detrimentall…
(1) Only the High Court has jurisdiction to supervise the liquidation of companies registered in Kenya. (2) Subsection (1) does not apply to a company that is in voluntary liquidation in accordance with Divisions 2 to 5.
(1) A company may be liquidated by the Court if— (a) the company has by special resolution resolved that the company be liquidated by the Court; (b) being a public company that was registered as such on its original incorporation— (i) the company has not been issued with a trading certificate under…
(1) An application to the Court for the liquidation of a company may be made any or all of the following — (a) the company or its directors; (b) a creditor or creditors (including any contingent or prospective creditor or creditors); (c) a contributory or contributories of the company; (d) a provisi…
(1) If, in relation to a company, it appears to the Attorney-General— (a) from a report made or information obtained from investigations carried out or inspection of documents produced under the Companies Act (Cap. 486). (b) from a report made, or information obtained, by the Capital Markets Authori…
(1) On the hearing of a liquidation application, the Court may make such of the following orders as it considers appropriate— (a) an order dismissing the application; (b) an order adjourning the hearing, conditionally or unconditionally; (c) an interim liquidation order; or (d) any other order that,…
(1) At any time after the making of a liquidation application, and before a liquidation order has been made, the company, or any creditor or contributory, may— (a) if legal proceedings against the company are pending in the Court, apply to the Court for the proceedings to be stayed; and (b) if proce…
(1) In a liquidation ordered by the Court— (a) any disposition of the company's property; and (b) any transfer of shares, or alteration in the status of the company's members, made after the commencement of the liquidation is void, unless the Court otherwise orders. (2) Subsection (1) does not apply…
If a company is being liquidated by the Court, any attachment, sequestration, distress or execution instigated against the assets of the company after the commencement of the liquidation is void.
(1) If, before the making of an application for the liquidation of a company by the Court, a resolution has been passed by the company for liquidating the company voluntarily— (a) the liquidation commences at the time of the passing of the resolution; and (b) unless the Court, on proof of fraud or m…
(1) Within seven days after a liquidation order is made in respect of a company, the company shall lodge a copy of the order with the Registrar for registration and also lodge a copy of it with the Official Receiver. (2) When a liquidation order has been made or a provisional liquidator has been app…
(1) If the Court has made a liquidation order or appointed a provisional liquidator in respect of a company, the Official Receiver may require some or all of the prescribed persons to make out and submit to the Official Receiver a statement of affairs relating to the company. (2) Those prescribed pe…
(1) On the making of a liquidation order, the Official Receiver shall conduct an investigation— (a) if the company has failed,to discover why the company failed; and (b) generally, to investigate the promotion, formation, business, dealings and affairs of the company, and to make such report (if any…
(1) If a company is being liquidated by the Court, the Official Receiver may, at any time before the dissolution of the company, apply to the Court for the public examination of any person who— (a) is or has been an officer of the company; (b) has acted as provisional liquidator, liquidator or admin…
(1) A person who, without reasonable excuse, fails at any time to attend the person's public examination under section 435 is guilty of a contempt of Court and is liable to be punished accordingly (in addition to any other punishment to which the person may be subject). (2) If a person fails without…
(1) The Court may appoint a provisional liquidator either on or after, or at any time before, the making of a liquidation order in respect of a company. (2) Only the Official Receiver or an authorised insolvency practitioner is eligible for appointment as a provisional liquidator. (3) A provisional…
(1) Subsections (2) to (7) have effect, subject to section 441 when the Court makes an order for the company to be liquidated. (2) The Official Receiver becomes the liquidator of the company and continues in office until some other person becomes liquidator under this Part. (3) The Official Receiver…
(1) In the case of a liquidation ordered by the Court, the Official Receiver (being the liquidator) may, at any time, appoint a qualified person as liquidator instead. (2) If meetings are held in accordance with a decision under section 438(5)(a), but no person is chosen to be liquidator as a result…
(1) If a company is being liquidated by the Court and separate meetings of the company's creditors and the company's contributories are convened for the purpose of choosing a person to be liquidator of the company, the creditors and the contributories at their respective meetings may nominate a pers…
(1) If a liquidation order is made immediately on the appointment of an administrator ceasing to have effect, the Court may appoint as liquidator of the company the person whose appointment as administrator has ceased to have effect. (2) If a liquidation order is made at a time when there is a super…
(1) If, after a liquidation order has been made, separate meetings of creditors and contributories have been convened for the purpose of choosing a person to be liquidator, those meetings may establish a liquidation committee to perform the functions imposed and to exercise the powers conferred onit…
(1) The functions of the liquidator of a company that is being liquidated by the Court are— (a) to ensure that the assets of the company are realised and distributed to the company's creditors; and (b) if there is a surplus, to distribute the surplus to the persons entitled to it. (2) If the liquida…
When— (a) a liquidation order has been made; or (b) a provisional liquidator has been appointed, in respect of a company, the liquidator or the provisional liquidator shall assume control of all the property to which the company is or appears to be entitled.
(1) When a company is being liquidated by the Court, the Court may, on the application of the liquidator, by order direct all or any part of the property belonging to the company or held by trustees on its behalf to vest in the liquidator in that capacity. (2) On the making of such an order, the pro…
(1) If, in the case of a company that is being liquidated by the Court, the liquidator (not being the Official Receiver) is satisfied that the liquidation of the company is for all practical purposes complete, the liquidator shall convene a final general meeting of the company's creditors. (2) At th…
(1) On the application of the liquidator, the Official Receiver or any creditor or contributory, and on proof to the satisfaction of the Court that all proceedings in the liquidation ought to be stayed, the Court may, at any time after an order for liquidation is made, make an order staying the proc…
(1) As soon as practicable after making a liquidation order, the Court shall— (a) settle a list of contributories, with power to rectify the register of members in all cases in which rectification is required; and (b) take all practicable steps to have the company's assets collected, and applied in…
(1) At any time after making a liquidation order, the Court may make an order in respect of any contributory who is for the time being on the list of contributories requiring the contributory to pay, in accordance with the order, an amount due from the contributory (or from the estate of the person…