Insolvency Act Cap 53 in Kenya

lf the Court refuses to discharge a bankrupt or makes an order discharging the bankrupt but suspends the discharge, the Official Receiver shall record that information in the relevant public register kept the Official Receiver under Division 2 of Part XII.

(1) The Official Receiver or any other person claiming to have a legitimate interest in the matter may make an application to the Court for an order under subsection (2). (2) On the hearing of an application made under subsection (1), the Court may annul a bankruptcy order made in respect of a...

(1) The Official Receiver may annul a bankruptcy order on any of the grounds specified in subsection (2), but only if the order was made on a debtor's application. (2) The grounds for annulment by the Official Receiver are as follows— (a) that the Official Receiver considers that the bankrupt...

(1) On annulment of a bankruptcy order, all property of the bankrupt vested in the Official Receiver on bankruptcy and not sold or otherwise disposed of by the Official Receiver revests in the bankrupt without the need for a transfer. (2) A contract, sale, disposition or payment duly made, or any...

In this Division— "confirming resolution" means a special resolution passed by a bankrupt's creditors in accordance with section 276 confirming a preliminary resolution; "preliminary resolution" means a special resolution passed by a bankrupt's creditors in accordance with section 276.

(1) The creditors of a bankrupt may accept a composition in satisfaction of the debts due to them from the bankrupt by passing a special resolution that contains the terms of the composition. (2) If there is more than one class of creditors, the delay of one class in accepting, or the failure of...

(1) A composition is ineffective only when creditors have passed a special resolution confirming preliminary resolution. (2) In the confirming resolution, the creditors may vary the terms of the composition set out in the preliminary resolution, if the terms as varied are at least as favourable to...

(1) If members of a partnership have been adjudged bankrupt, the joint creditors and each class of separate creditors can make separate compositions. (2) lf subsection (1) applies, the majorities of creditors required for passing the confirming resolution are the separate majorities of each class,...

(1) A composition is not binding until it is approved by the Court. (2) When approved by the Court, a composition binds all the creditors in respect of provable debts due to them by the bankrupt. (3) The Court may refuse to approve a composition if it finds that— (a) section 276 or 277; (b) the...

(1) The bankrupt or the Official Receiver may apply to the Court to approve the composition. (2) The Court may hear the application only if satisfied that each creditor who has submitted a claim in the bankruptcy has been given notice of it. (3) Before approving the composition, the Court...

(1) As soon as practicable after the Court has approved a composition— (a) the bankrupt and the Official Receiver shall execute a deed of composition for putting the proposal into effect; and (b) the Official Receiver shall apply to the Court for confirmation of the deed. (2) If it is satisfied...

When the Court has confirmed the deed and quashed the bankruptcy order— (a) the deed binds all the creditors in all respects as if they had each executed the deed; and (b) subject to the provisions of the Land Registration Act (Cap. 300), the bankrupt's property to which the deed relates vests,...

(1) A bankrupt who makes a composition with the bankrupt's creditors remains liable for the unpaid balance of a debt if— (a) the bankrupt, by means of fraud— (i) incurred or increased the debt; or (ii) on or before the date of the composition, obtained forbearance on the debt; and (b) the...

(1) The deadlines for steps to approve the composition and execute the deed are as follows— (a) the confirming resolution has to have been passed within one month after the preliminary resolution is passed; (b) the Court has to have approved the composition within one month after the confirming...

(1) The Registrar of the Court shall, after recording the deed of composition— (a) endorse on the deed that it has been recorded in the Court registry; and (b) if requested to do so by the Official Receiver, deliver the deed to the Official Receiver. (2) As soon as practicable after the deed has...

(1) On the application of any person aggrieved by a failure to pay an amount payable in accordance with a composition approved by the Court, the Court may order that the failure to pay be remedied. (2) On the application of a person who claims to have an interest in a composition approved by the...

(1) After the preliminary resolution has been passed, the Court continues to have exclusive jurisdiction in relation to the composition and the deed of composition, and their administration. (2) On an application in relation to the composition, the deed of composition, or their administration, the...

The Court shall decide a question arising under a deed of composition according to the law and practice of bankruptcy, in so far as that law and practice is relevant.

(1) A bankrupt commits an offence if the bankrupt did not, when contracting a debt, have the capacity to pay the debt when it fell due for payment, as well as to pay all the bankrupt's other debts. (2) A bankrupt commits an offence if the bankrupt has materially contributed to, or increased the...

(1) A bankrupt commits an offence if the bankrupt— (a) conceals, or removes from Kenya, any part of the bankrupt's property— (i) during the two months immediately preceding the date on which an unsatisfied judgment or order for payment of money was made against the bankrupt; or (ii) at any time...

(1) A bankrupt commits an offence if, during the three years immediately preceding the time when the bankruptcy order was made in respect of the bankrupt, the bankrupt makes or produces to a material person a written statement of the bankrupt's financial position that contains information that is...

(1) A bankrupt commits an offence if, during the two years immediately preceding the making of the application to the Court for a bankruptcy order in respect of the bankrupt, or at any time after the application was made, the bankrupt— (a) conceals, destroys, mutilates or falsifies, or is a party...

A bankrupt commits an offence if, during the twelve months immediately preceding the making of the application to the Court for a bankruptcy order in respect of the bankrupt, or at any time after the application was made, the bankrupt attempts to account for any part of the bankrupt’s property by...

(1) A bankrupt commits an offence if, during the three years preceding the making of the application to the Court for a bankruptcy order in respect of the bankrupt, or at any time after the application was made— (a) the bankrupt obtains property on credit and has not paid for the property;...

A bankrupt commits an offence if the bankrupt— (a) makes a false representation; or (b) does any other fraudulent act, for the purpose of obtaining the consent of any one or more of the bankrupt's creditors to any agreement with reference to the bankrupt's affairs or the bankrupt's bankruptcy.

(1) A bankrupt commits an offence if, during the twelve months immediately preceding the making of the application to the Court for a bankruptcy order in respect of the bankrupt, or at any time after the application was made, the bankrupt— (a) leaves Kenya (either temporarily or permanently),...

A bankrupt who is found guilty of an offence under a provision of sections 289 to 296 is liable on conviction to a fine not exceeding two million shillings or to imprisonment for a term not exceeding five years, or to both.

(1) A bankrupt commits an offence if, at any time during the three years immediately preceding the date on which the bankrupt was adjudged bankrupt— (a) the bankrupt had failed to record of the bankrupt's period; and keep and preserve a transactions for the (b) because of the nature of the...

(1) A bankrupt commits an offence if, with intent to conceal the true state of the bankrupt's affairs, the bankrupt has failed to keep and preserve a proper record of the bankrupt' s transactions. (2) A bankrupt who is found guilty of an offence under subsection (1) is liable on conviction to a...

(1) For the purposes of sections 298 and 299, a bankrupt is, in the absence of evidence to the contrary, presumed not to have kept a proper record of the bankrupt's transactions if, being engaged in a trade or business, the bankrupt has not kept the required records. (2) For the purpose of...