[2005] KEHC 3146 (KLR)
The court found that the statutory requirements for adjudication of bankruptcy had been met, specifically that a receiving order had been made, the debtor owed substantial unsecured debts, and the creditors had passed a resolution in accordance with section 20 of the Bankruptcy Act for the debtor to be adjudged...
Source-derived case information.
- Citation
- [2005] KEHC 3146 (KLR)
- Parties
- Debtor: Alnasir L.K.A. Peer Mohamed; Applicant: Official Receiver
- Court
- High Court
- Court Station
- High Court at Nairobi (Milimani Law Courts)
- Jurisdiction
- Kenya
- Case Number
- Bankruptcy Cause 7 of 2000
- Procedural Posture
- Bankruptcy Cause / Ruling on Application for Adjudication and Appointment of Trustee
- Outcome
- Debtor adjudged bankrupt; official receiver appointed trustee; debtor may apply for discharge after five years.
- Judges
- MM Kasango
- Legal Topics
- Bankruptcy Adjudication, Appointment of Trustee, Creditor Resolution
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Alnasir L.K.A. Peer Mohamed
Debtor
Official Receiver
Applicant
Procedural Posture
Bankruptcy Cause / Ruling on Application for Adjudication and Appointment of Trustee
Legal Issues
- 1 Whether the debtor should be adjudged bankrupt under section 20 of the Bankruptcy Act.
- 2 Whether the official receiver should be appointed as trustee in bankruptcy.
Ratio Decidendi
The court found that the statutory requirements for adjudication of bankruptcy had been met, specifically that a receiving order had been made, the debtor owed substantial unsecured debts, and the creditors had passed a resolution in accordance with section 20 of the Bankruptcy Act for the debtor to be adjudged bankrupt and for the official receiver to be appointed as trustee. The court therefore adjudged the debtor bankrupt and appointed the official receiver as trustee, granting the debtor the right to apply for discharge after five years.
Court Disposition
Debtor adjudged bankrupt; official receiver appointed trustee; debtor may apply for discharge after five years.
Orders
- Alnasir K.A. Peer Mohamed is adjudged bankrupt and the official receiver is appointed trustee in bankruptcy.
- The debtor shall apply for his discharge after five years from the date of this order.
Full Case Text
Judgment text and source record
11 paragraphs
REPUBLIC OF KENYA IN THE HIGH COURT OF KENYA COMMERCIAL DIVISION, MILIMANI Bankruptcy Cause 7 of 2000
ALNASIR L.K.A. PEER MOHAMED (DEBTOR)
RULING The official receiver has moved this court with an application under section 20 of The Bankruptcy Act and Rule 181 of the Bankruptcy Rules.
A receiving order was made against the debtor on 8th February 2000 and as at that date the debtor owed his creditors kshs 34, 693, 288/- most of those debts were unsecured loans advanced to the debtor which must, by now, have escalated because of interest; other debts related to the debtors credit advanced to him.
I have sighted in the supporting affidavit that at an adjourned first meeting of the creditors of the said debtor at Sheria House, 8th Floor Room 806, on 4th September 2003 a resolution in the following terms was passed:
“That ALNASIR K.A. PEER MOHAMED be adjudged Bankrupt and that the official Receiver be made the trustee in Bankruptcy.”
The resolution having been passed it accords with the requirements of section 20 The Bankruptcy Act.
The court therefore makes the following orders:
(1) That ALNASIR K.A. PEER MOHAMED be and is hereby adjudged Bankrupt and that the official receiver be made the trustee in Bankruptcy. (2) The debtor shall apply for his discharge after 5 years from the date of this order.
Dated and delivered this 29th July 2005.
MARY KASANGO JUDGE