[2021] KEHC 3284 (KLR)
The court found that the administrators and their advocate failed to provide a satisfactory and complete account of the proceeds from the sale of the estate property, LR No 2116/486. The unexplained discrepancy between the sale price and the amount transferred to the administrators, with no account for the balance,...
Source-derived case information.
- Citation
- [2021] KEHC 3284 (KLR)
- Parties
- Applicant: Jimmy Agola; Respondent: Belice Muchenje Agol; Respondent: Jared Luvayi Ndayala; Respondent: Musa Litu Ndayala; Respondent: Walioli & Hussein Advocates
- Court
- High Court
- Court Station
- High Court at Kitale
- Jurisdiction
- Kenya
- Case Number
- Succession Cause 144 of 2010
- Procedural Posture
- Succession Cause / Ruling on Application for Accounts
- Outcome
- application granted
- Judges
- LK Kimaru
- Legal Topics
- Administration of Estates, Duty to Account, Beneficiary Rights
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Jimmy Agola
Applicant
Belice Muchenje Agol
Respondent
Jared Luvayi Ndayala
Respondent
Musa Litu Ndayala
Respondent
Walioli & Hussein Advocates
Respondent
Procedural Posture
Succession Cause / Ruling on Application for Accounts
Legal Issues
- 1 Whether the administrators and their advocate are obliged to render proper accounts of the proceeds from the sale of LR No 2116/486.
- 2 Whether the applicant, as a beneficiary, is entitled to a detailed statement of accounts regarding the estate property sale.
Ratio Decidendi
The court found that the administrators and their advocate failed to provide a satisfactory and complete account of the proceeds from the sale of the estate property, LR No 2116/486. The unexplained discrepancy between the sale price and the amount transferred to the administrators, with no account for the balance, constituted a breach of the administrators' fiduciary duty to the beneficiaries. The court held that proper accounts must be rendered to ensure transparency and protect the interests of the beneficiaries. Accordingly, the application was granted, and the administrators and their advocate were ordered to render proper accounts within 30 days, failing which the applicant could...
Court Disposition
application granted
Orders
- The three administrators and their advocate are ordered to render proper accounts to the court within 30 days.
- The applicant shall have the costs of the application.
Full Case Text
Judgment text and source record
20 paragraphs
REPUBLC OF KENYA
IN THE HIGH COURT OF KENYA
AT KITALE
SUCCESSION CAUSE NO. 144 OF 2010
IN THE MATTER OF THE ESTATE OF DISHON NDAYALA AGOLA – DECEASED
JIMMY AGOLA.....................................................................................APPLICANT
VERSUS
BELICE MUCHENGE AGOL...............1ST ADNMINSTRATOR/RESPONDENT
JARED LUVAYI NDAYALA...................2ND ADMINSTRATOR/RESPONDENT
MUSA LITU NDAYALA...........................3RD ADMINSTRATOR/RESPONDENT
WALIOLI & HUSSEIN ADVOCATES.......................................4TH RESPONDENT
RULING
Jimmy Agola, one of the beneficiaries of the estate of the deceased herein has made an application before this court seeking order of this court to compel the administrators and their advocate, Walioli & Hussein Advocates to furnish accounts for the sale of LR No 2116/486 (IR 23967) (suit property) which was sold by the said administrators, allegedly without the knowledge of the Applicant. The Applicant complains that he did not benefit at all from the proceeds of the said sale. It is on that basis that the Applicant sought for the administrators and the advocate to furnish him with accounts.
Musa Litu Ndayala, one of the administrators swore a replying affidavit in answer to the application. He confirmed that indeed the suit property was sold for a purchase consideration of Kshs 40,000,000/=. However, the explanation takes a mysterious turn when he depones that only the sum of Kshs 12,564,999/= was transferred by the advocate to the administrators. No explanation was given as to how the sum of Kshs 27,435,001/= was utilized or who benefited from it.
This court agrees with the Applicant that indeed proper accounts of the said proceeds of Sale must be rendered. The replying affidavit sworn by the 3rd administrator is unsatisfactory and does not give proper accounts.
In the premises therefore, the application by the Applicant seeking proper and accurate statement of accounts is granted. The three administrators, with their advocate, are ordered to render proper accounts to this court within 30 days of today’s date, failure of which the Applicant shall be at liberty to take appropriate enforcement measures.
The Applicant shall have the costs of the Application.
DATED AT KITALE THIS 6TH DAY OF OCTOBER 2021.
L. KIMARU
JUDGE