Insolvency Act Cap 53 in Kenya

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Search Results...

727 sections

• Section 511 of Insolvency Act CAP 53: Obligations arising under section 510
  

  (1) For the purpose of an investigation by the Attorney-General under 510(4), a person has the same obligation to produce documents or give information, or otherwise assist the Attorney-General, as the person would have in relation to an inspector appointed under the Companies Act (Cap....

  
  
• Section 512 of Insolvency Act CAP 53: Meaning of "unregistered company" for purposes of this Part
  

  For the purposes of this Part, "unregistered company" includes any association and any company, other than a company registered under the Companies Act (Cap. 486).

  
  
• Section 513 of Insolvency Act CAP 53: Liquidation of unregistered companies
  

  (1) Subject to the provisions of this Part— (a) any unregistered company may be liquidated under Pat VI; and (b) the provisions of that Part relating to liquidation apply to an unregistered company. (2) An unregistered company cannot be liquidated under this Part voluntarily.

  
  
• Section 514 of Insolvency Act CAP 53: Circumstances in which unregistered company can be liquidated
  

  (1) The circumstances in which an unregistered company can be liquidated are as follows— (a) if the company is dissolved, or has ceased to carry on business, or is carrying on business only for the purpose of liquidating its affairs; (b) if the company is unable to pay its debts; (c) if the Court...

  
  
• Section 515 of Insolvency Act CAP 53: Company incorporated outside Kenya may be liquidated though dissolved
  

  (1) If a company incorporated outside Kenya that has been carrying oh business in Kenya ceases to carry on business there, it can be liquidated as an unregistered company under this Act. (2) Subsection (1) has effect even if the company has been dissolved or has otherwise ceased to exist as a...

  
  
• Section 516 of Insolvency Act CAP 53: Contributories in liquidation of unregistered company
  

  (1) If an unregistered company is in liquidation, each person is a contributory who is liable— (a) to pay or contribute to the payment of any debt or liability of the company; (b) to pay or contribute to the payment of any amount for the adjustment of the rights of members among themselves;...

  
  
• Section 517 of Insolvency Act CAP 53: Power of the Court to stay or restrain proceedings
  

  The provisions of this Part with respect to staying or restraining legal proceedings against a company after the making of an application for liquidation and before the making of a liquidation order extend, if the application to stay or restrain is made by a creditor, to legal proceedings against a...

  
  
• Section 518 of Insolvency Act CAP 53: Actions stayed on liquidation order
  

  If an order has been made for liquidating an unregistered company, no legal proceedings may be begun or continued against a contributory of the company in respect of any debt of the company, except by approval of the Court, and subject to such terms as the Court may impose.

  
  
• Section 519 of Insolvency Act CAP 53: Provisions of this Part to be cumulative
  

  (1) The provisions of this Part with respect to unregistered companies are in addition to those of Part VI with respect to the liquidation of companies by the Court. (2) The Court or liquidator may exercise any powers or do any act in the case of unregistered companies that might be exercised or...

  
  
• Section 520 of Insolvency Act CAP 53: Interpretation: Part VIII
  

  In this Part— "administrator", in relation to a company, means a person appointed under this Part to manage the company's affairs and property, and, if the context requires, includes a former administrator; "creditors' meeting" means a meeting of creditors of a company under administration that is...

  
  
• Section 521 of Insolvency Act CAP 53: What is administration?
  

  For the purposes of this Act— (a) a company is "under administration" while the appointment of an administrator of the company continues to have effect; (b) a company "enters administration" when the appointment of an administrator takes effect; (c) a company ceases to be under administration...

  
  
• Section 522 of Insolvency Act CAP 53: The objectives of administration
  

  (1) The objectives of the administration of a company are the following— (a) to maintain the company as a going concern; (b) to achieve a better outcome for the company's creditors as a whole than would likely to be the case if the company were liquidated (without first being under...

  
  
• Section 523 of Insolvency Act CAP 53: Who can appoint an administrator?
  

  A person may be appointed as administrator of a company— (a) by administration order of the Court in accordance with Division 3; (b) by the holder of a floating charge under section 534; or (c) by the company or its directors under section 541.

  
  
• Section 524 of Insolvency Act CAP 53: Duty of administrator
  

  The administrator of a company shall perform the administrator's functions as quickly and efficiently as is reasonably practicable.

  
  
• Section 525 of Insolvency Act CAP 53: Status of administrator
  

  An administrator is an officer of the Court, whether or appointed by the Court or not.

  
  
• Section 526 of Insolvency Act CAP 53: Qualification for appointment of administrators
  

  A person may be appointed as administrator of a company only if the person is an authorised insolvency practitioner.

  
  
• Section 527 of Insolvency Act CAP 53: Administrator not to be appointed if company is already under administration
  

  (1) Except as provided by subsection (2), a person may not be appointed as administrator of a company that is already under administration. (2) Subsection (1) is subject to sections 606 to 613 and sections 616 to 619.

  
  
• Section 528 of Insolvency Act CAP 53: Administrator not to be appointed if company is in liquidation
  

  (1) A person may not be appointed as administrator of a company that is in liquidation because of— (a) a resolution for voluntary liquidation; or (b) a liquidation order. (2) Subsection (1)(a) is subject to section 557 (power of liquidator to make an application for administration). (3) Subsection...

  
  
• Section 529 of Insolvency Act CAP 53: Administrator not to be appointed in respect of banking, finance and insurance companies
  

  (1) A person may not be appointed under this Part as administrator of— (a) a company that is a bank; or (b) a company that enters into contracts of insurance or carries on insurance business. (2) Subsection (1) is subject to section 35A of the Banking Act (Cap. 488).

  
  
• Section 530 of Insolvency Act CAP 53: What is an administration order?
  

  An administration order is an order appointing a person as the administrator of a company and providing for the administration of the company by that person.

  
  
• Section 531 of Insolvency Act CAP 53: Conditions for making administration orders
  

  The Court may make an administration order in relation to a company only if satisfied— (a) that the company is or is likely to become unable to pay its debts; and (b) that the administration order is reasonably likely to achieve an objective of administration.

  
  
• Section 532 of Insolvency Act CAP 53: Who may make an application to the Court to for an administration order in respect of company
  

  (1) An application to the Court for an administration order in respect of a company may be made only by the following persons— (a) the company; (b) the directors of the company; (c) one or more creditors of the company; (d) a combination of persons specified in paragraphs (a) to (c); (e) any...

  
  
• Section 533 of Insolvency Act CAP 53: Powers of the Court on hearing application for administration order
  

  (1) On hearing an application for an administration order in respect of a company, the Court may— (a) make the administration order sought; (b) dismiss the application; (c) adjourn the hearing conditionally or unconditionally; (d) make an interim order; (e) treat the application as a...

  
  
• Section 534 of Insolvency Act CAP 53: Holder of floating charge may appoint administrator
  

  (1) The holder of a qualifying floating charge in respect of a company's property may appoint an administrator of the company. (2) For the purposes of subsection (1), a floating charge is a qualifying floating charge if it is created by a document that— (a) states that this section applies to the...

  
  
• Section 535 of Insolvency Act CAP 53: Restrictions on the power of holder of floating charge to appoint administrator
  

  (1) A person may not appoint an administrator under section 534 unless the person has given at least three days' notice to the holder of any prior floating charge that satisfies subsection (2) of that section. (2) For the purposes of subsection (1), the priority of a floating charge shall be...

  
  
• Section 536 of Insolvency Act CAP 53: Administrator not to be appointed if relevant floating charge is not enforceable
  

  A person may not be appointed as administrator under section 534 if the floating charge on which the appointment depends is unenforceable.

  
  
• Section 537 of Insolvency Act CAP 53: Holder of relevant floating charge to notify the Court on appointing administrator
  

  (1) A person who appoints an administrator of a company under section 534 shall lodge with the Court — (a) a notice of appointment that complies with subsections (2); and (b) such other documents as may be prescribed by the insolvency regulations for the purposes of this section. (2) A notice of...

  
  
• Section 538 of Insolvency Act CAP 53: When administrator's appointment takes effect
  

  The appointment of an administrator under section 534 takes effect when the requirements of section 537 are satisfied.

  
  
• Section 539 of Insolvency Act CAP 53: Duty of holder of relevant floating charge to notify appointment to administrator and other persons
  

  (1) As soon as is reasonably practicable after the requirements of section 537 are satisfied, the person who appointed the administrator under section 534 shall notify the administrator, and such other persons as may be prescribed by the insolvency regulations for the purposes of this section, that...

  
  
• Section 540 of Insolvency Act CAP 53: Power of the Court to order person invalidly appointed to be indemnified against liability
  

  (1) If— (a) a person purports to appoint an administrator under section 534; and (b) the appointment is discovered to be invalid, any person who appears to the Court to have a legitimate interest in the matter may apply to the Court for an order under subsection (2). (2) On the hearing of an...