https://new.kenyalaw.org/akn/ke/judgment/kehc/2026/7371

Source-derived case information.

Citation: [2026] KEHC 7371 (KLR)
Parties: Petitioner/creditor: Suleiman Buya Ramadhan; Debtor/respondent: The Monarch Insurance Company Limited
Court: High Court
Jurisdiction: Kenya
Case Number: Insolvency Cause E002 of 2025
Procedural Posture: Insolvency Cause Preliminary Objection in a Liquidation Petition / Ruling on Preliminary Objection
Outcome: Preliminary objection dismissed with costs to the petitioner
Judges: ["JN Njagi"]
Legal Topics: Liquidation Petition, Statutory Demand, Validity of Statutory Notice, Authority of Advocate to Sign Demand, Role of Deputy Registrar in Endorsing Demand, Preliminary Objection
Source Language: en

Insolvency Law Company Law Civil Procedure Liquidation Petition Statutory Demand Validity of Statutory Notice Authority of Advocate to Sign Demand Role of Deputy Registrar in Endorsing Demand +1 more

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Downloadable case file Legal principles 3 Authorities cited 11 Party arguments 1 Amounts and remedies 1

Parties

Suleiman Buya Ramadhan

Petitioner/creditor

The Monarch Insurance Company Limited

Debtor/respondent

Procedural Posture

Insolvency Cause Preliminary Objection in a Liquidation Petition / Ruling on Preliminary Objection

Legal Issues

1 Whether a statutory demand may be signed by the creditor's advocate or only by the creditor personally
2 Whether the statutory demand must be endorsed by the Deputy Registrar of the High Court
3 Whether the petition was incompetent for lack of a valid statutory demand

Ratio Decidendi

The court held that a statutory demand need not be signed only by the creditor personally; an advocate may sign on the creditor's behalf. It further held that in a liquidation petition founded on indebtedness, the statutory demand is properly signed by the Deputy Registrar in accordance with Rule 77B(2)(a). The respondent's authorities were distinguishable because they dealt with demands signed by the Deputy Registrar instead of the creditor or advocate, which was not the situation here. The preliminary objection therefore failed.

Court Disposition

Preliminary objection dismissed with costs to the petitioner

Orders

The preliminary objection is dismissed with costs to the petitioner.

Full Case Text

Judgment text and source record

1 paragraphs

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.}}{\*\pnseclvl4\pnlcltr\pnstart1\pnindent720\pnhang {\pntxta )}} {\*\pnseclvl5\pndec\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl6\pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl7\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl8 \pnlcltr\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}{\*\pnseclvl9\pnlcrm\pnstart1\pnindent720\pnhang {\pntxtb (}{\pntxta )}}\pard\plain \ltrpar \qc \li0\ri0\sa160\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid15690682 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\ul\insrsid5269511\charrsid11549123 REPUBLIC OF KENYA \par IN THE HIGH COURT OF KENYA AT GARSEN \par INSOLVENCY CAUSE NO. E00}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\ul\insrsid1862539\charrsid11549123 2}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\ul\insrsid5269511\charrsid11549123 OF 2025 \par }\pard \ltrpar\qc \li0\ri0\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid15690682 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1862539\charrsid11549123 \par SULEIMAN BUYA RAMADHAN}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 .\'85\'85\'85\'85\'85\'85\'85\'85\'85}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1862539\charrsid11549123 PETITIONER/CR}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 E}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1862539\charrsid11549123 DI}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 TOR \par }\pard \ltrpar\qc \li0\ri0\sa160\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid15690682 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 VERSUS \par }\pard \ltrpar\ql \li0\ri0\sa160\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid3160584 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1862539\charrsid11549123 THE MONARCH INSURANCE \par COMPANY LIMITED}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 \'85\'85\'85.\'85\'85\'85\'85}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1862539\charrsid11549123 \'85\'85\'85\'85}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid12208719 .}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1862539\charrsid11549123 \'85\'85\'85D}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 E}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1862539\charrsid11549123 B}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 TOR}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4194963\charrsid11549123 /RESPONDENT}{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 \par }\pard \ltrpar\qj \li0\ri0\sa160\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5269511\charrsid11549123 } {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\ul\insrsid5269511\charrsid11549123 RULING \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid5269511\charrsid6946926 \hich\af45\dbch\af0\loch\f45 1.\tab}}\pard\plain \ltrpar\s16\qj \fi-360\li360\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls5\adjustright\rin0\lin360\itap0\pararsid6946926\contextualspace \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5269511\charrsid6946926 The }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11875120\charrsid6946926 Petitioner/C}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5269511\charrsid6946926 reditor herein, has filed }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 a }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11875120\charrsid6946926 P}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 etition}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid6946926 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 seeking that this court do }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid6946926 issue}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 a liquidation order}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid6946926 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 in respect of the Debtor}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11875120\charrsid6946926 /Respondent}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 herein on the ground }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5269511\charrsid6946926 the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11875120\charrsid6946926 Respondent}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5269511\charrsid6946926 is indebted to the creditor in the sum of Ksh}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid1862539\charrsid6946926 .4}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 32,707}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5269511\charrsid6946926 /=}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14618449\charrsid6946926 arising from a judgment and orders obtained in Hola PMCC No. 008 of 2025. That the Petitioner has made repeated requests to the Debtor }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid6946926 for payment but the Debtor has failed} {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11875120\charrsid6946926 and/or }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid6946926 refused to pay the debt amount. That the amount owed is within the prescrib ed insolvency}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289670\charrsid6946926 .}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid6946926 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11875120\charrsid6946926 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid8455145\charrsid11549123 \hich\af45\dbch\af0\loch\f45 2.\tab}}\pard \ltrpar\s16\qj \fi-360\li360\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls5\adjustright\rin0\lin360\itap0\pararsid11549123\contextualspace {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid11549123 That on the 28}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\super\insrsid8455145\charrsid11549123 th}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid11549123 day of August 2025 the petit}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289670\charrsid11549123 i}{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8455145\charrsid11549123 oner served a statutory demand upon the company at its registered office in Nairobi demanding payment of the debt within 21 days after service of the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid16539053\charrsid11549123 Statutory Demand }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289670\charrsid11549123 but the Debtor has not c omplied with the demand. That the Debtor is deemed unable or has no reasonable prospects at paying its debts and the debt amount owed to the petitioner. That it is only fai}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 r }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289670\charrsid11549123 , just and equitable that the court grants a liquidation order for the liquidation of the company. \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid5269511\charrsid11549123 \hich\af45\dbch\af0\loch\f45 3.\tab}}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5269511\charrsid11549123 The Petition }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 was opposed by the Debtor vide a Notice of Preliminary Objection dated 4}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\super\insrsid4194963\charrsid11549123 th}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 November 2025 on the grounds that: \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f45\insrsid2190142\charrsid11549123 \hich\af45\dbch\af0\loch\f45 1.\tab}}\pard \ltrpar\s16\qj \fi-357\li1491\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin1491\itap0\pararsid11549123\contextualspace {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid2190142\charrsid11549123 THAT}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2190142\charrsid11549123 the Petitioner\rquote s petition dated 29}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\super\insrsid2190142\charrsid11549123 th}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2190142\charrsid11549123 October, 2025 is incompetent, misconceived, frivolous, devoid }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14173472\charrsid11549123 o}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13771758\charrsid11549123 f merit and otherwise}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4346273\charrsid11549123 an abuse of the due process}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2820221\charrsid11549123 of this Honorable Court.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2190142\charrsid11549123 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f45\insrsid4346273\charrsid11549123 \hich\af45\dbch\af0\loch\f45 2.\tab}}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4346273\charrsid11549123 THAT}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4346273\charrsid11549123 the Petition is fatally defective and ought to be struck out or dismissed as it is contravention of Section 2 and 384(1)(a) of the Insolvency Act. \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \af0 \ltrch\fcs0 \b\f45\insrsid4346273\charrsid11549123 \hich\af45\dbch\af0\loch\f45 3.\tab}}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4346273\charrsid11549123 THAT}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4346273\charrsid11549123 the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid16726672\charrsid11549123 Petitioner\rquote s }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid15204618\charrsid11549123 S tatutory Demand which is undated upon which this }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8599517\charrsid11549123 Petition is founded was not issued by the Creditor but by an Advocate who had purported to have it signed by the Deputy Registrar contravening the provisions of Section 2 and 384(1)(a) of the Insolvency Act.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4346273\charrsid11549123 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid4194963\charrsid11549123 \hich\af45\dbch\af0\loch\f45 4.\tab}}\pard \ltrpar\s16\qj \fi-360\li720\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 The Preliminary Objection was disposed of by way of written submissions. \par }\pard\plain \ltrpar\qj \li0\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid13779408\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid12013715\charrsid11549123 Respondent`s}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4194963\charrsid11549123 submissions \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid4194963\charrsid11549123 \hich\af45\dbch\af0\loch\f45 5.\tab}}\pard\plain \ltrpar\s16\qj \fi-360\li720\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 The }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12013715\charrsid11549123 Respondent}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 submitted that the Statutory Notice relied upon by the Petitione}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13581966\charrsid11549123 r}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 is incurably defective, }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13581966\charrsid11549123 invalid and incapable of grounding an insolvency petition within the meaning of sections 2 and 384(1) (a) of the Insolvency Act}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2129496\charrsid11549123 in that the statutory Notice was not issued by the Petitioner but by an advocate who purported to have it signed by the Deputy Registrar. That this violates the expre ss wording of section 384(1) (a) which requires that only a creditor may issue a statutory demand.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 Reliance was made in the case of }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid11289342\charrsid11549123 Blueline Properties Limited v Mayfair Insurance Company Limited (2019) KEHC 7673 (KLR)}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 where the court held the following on the provisions of section }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11289342\charrsid11549123 Section 384 (1) (a) of the Insolvency Act}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 : \par }\pard\plain \ltrpar\qj \li1134\ri0\sa100\saauto1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1134\itap0\pararsid11549123 \cbpat8 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang1033\langfe8192\langfenp8192\insrsid13779408\charrsid11549123 \'85.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang1033\langfe8192\langfenp8192\insrsid11289342\charrsid11549123 That }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11289342\charrsid11549123 Section requires the Statutory Notice to be issued by a creditor. A creditor is defined under section 2 of that Act as:}{\rtlch\fcs1 \ab\af46\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11289342\charrsid11549123 \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11289342\charrsid11549123 \'93includes a person entitled to enforce a final judgment or final order.\'94}{\rtlch\fcs1 \ab\af46\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11289342\charrsid11549123 \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11289342\charrsid11549123 That definition does not include an agent, such as an advocate. A creditor on the facts before Court would be Blueline, not its advocate. It follows, as rightly submitted on behalf of Mayfair, that the Statutory Notice issued to Mayfair did not meet the threshold set out in Section 384 (1) (a) of Insolvency Act. Blueline was therefore not entitled to rely on the Statutory Notice issued by its advocate to seek liquidation of Mayfair. It follows that without that Statutory Notice Blueline is unable to prove that Mayfair is unable to pay its debts.}{\rtlch\fcs1 \ab\af46\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11289342\charrsid11549123 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid9635329\charrsid11549123 \hich\af45\dbch\af0\loch\f45 6.\tab}}\pard\plain \ltrpar\s16\qj \fi-360\li720\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9635329\charrsid11549123 I}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2050734\charrsid11549123 t was further submitted that a statutory Notice cannot be signed by the Deputy Registrar. Reliance was placed in the case of }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid2050734\charrsid11549123 Global Truck Li mited v Borderless Tracking Limited (2020) eKLR}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2050734\charrsid11549123 where}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\cf17\chshdng0\chcfpat0\chcbpat8\insrsid5322998\charrsid11549123 a Statutory Notice/Demand had been signed by the deputy registrar and the court concluded that the statutory notice had been issued contrary to statute and was not valid to mount a petition for liquidation of a company.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5322998\charrsid11549123 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid2050734\charrsid11549123 \hich\af45\dbch\af0\loch\f45 7.\tab}}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2050734\charrsid11549123 That the position in the latter case was affirmed in }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid2050734\charrsid11549123 East African Cables Lim}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5330322\charrsid11549123 i}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid2050734\charrsid11549123 ted }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid13063674\charrsid11549123 v }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid2050734\charrsid11549123 Trans Africa Energy Limited (2022) KEHC 12260 (KLR)}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2050734\charrsid11549123 where the court stated: \par }\pard\plain \ltrpar\qj \li1134\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1134\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\chshdng0\chcfpat0\chcbpat8\insrsid3696349\charrsid11549123 In the case at hand, the statutory demand was not signed by Cables or even the advocate, but by the Deputy Registrar. The Deputy Registrar is not the creditor and had no instruction from Cables. The Deputy Registrar could not issue the statutory notice on behalf of Cables. Counsel for Cables did not point out any provision that empowers the Deputy Registrar to issue and sign the statutory notice on behalf of a creditor.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid2050734\charrsid11549123 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid2050734\charrsid11549123 \hich\af45\dbch\af0\loch\f45 8.\tab}}\pard\plain \ltrpar\s16\qj \fi-360\li720\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid2050734\charrsid11549123 It was emphasized that a statutory Notice must be signed by the Creditor}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6964430\charrsid11549123 for it to be considered valid. That the }{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13779408\charrsid11549123 P}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6964430\charrsid11549123 etition herein was founde}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12013715\charrsid11549123 d}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6964430\charrsid11549123 on an invalid Notice}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 a}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5524856\charrsid11549123 s it is }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 not si}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9635329\charrsid11549123 g}{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 ned by the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5524856\charrsid11549123 C}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 reditor thus rendering it }{\rtlch\fcs1 \ab\ai\af0\afs24 \ltrch\fcs0 \i\f45\fs24\insrsid9635329\charrsid11549123 void ad initio}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6964430\charrsid11549123 .}{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12013715\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13581966\charrsid11549123 That the defects are substantial and cannot be cured by Article159 of the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12013715\charrsid11549123 const}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13581966\charrsid11549123 itution or by exercise of judicial discretion.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12013715\charrsid11549123 The Petitioner urged the court to uphold the Preliminary Objection.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4194963\charrsid11549123 \par }\pard \ltrpar\s16\qj \li720\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid12013715\charrsid11549123 Petitioner`s submissions}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4194963\charrsid11549123 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid12013715\charrsid11549123 \hich\af45\dbch\af0\loch\f45 9.\tab}}\pard \ltrpar\s16\qj \fi-360\li720\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12013715\charrsid11549123 The Petitioner/Creditor on the other hand submitted that }{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14490489\charrsid11549123 the statutory demand was properly signed by the advocate who is an agent of the creditor and is therefore capable of supporting the petition. Reliance on this legal position was placed in the case of }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid14490489\charrsid11549123 Yang in the }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid6700076\charrsid11549123 C}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid14490489\charrsid11549123 are of Yang Zenghuiv Suraya }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid5524856\charrsid11549123 v }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid14490489\charrsid11549123 Properties Group Limited (Insolvency Petition E042 of 2021) (2023) KEHC 2021(KLR) (Commercial and Tax) (7 July 2023) (Ruling)}{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14490489\charrsid11549123 where the court held that: \par }\pard\plain \ltrpar\qj \li1134\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1134\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 The statutory demand was signed by }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid9635329\charrsid11549123 Triple}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang1033\langfe8192\langfenp8192\insrsid9635329\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 OK}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang1033\langfe8192\langfenp8192\insrsid9635329\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 Law LLP Advocates on behalf of the creditor.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang1033\langfe8192\langfenp8192\insrsid5524856\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 The position espoused in\~}{\rtlch\fcs1 \ab\ai\af0\afs24 \ltrch\fcs0 \b\i\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 Halsbury\rquote s Laws of England}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 \~4th Ed Vol 7(2) para 1446 is that a statutory demand should be dated and signed by the creditor himself or by a person authorized to make the demand on the creditor \rquote s behalf. The person who can issue a statutory deman d on behalf of the creditor would include an advocate who acts as the authorised agent of the creditor. I, therefore, find and hold that the statutory demand signed by advocates acting on behalf of the creditor was properly signed for purposes of the\~} {\field\fldedit{\*\fldinst {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 HYPERLINK "https://kenyalaw.org/akn/ke/act/2015/18" \\t "_blank" }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11808634\charrsid11549123 {\*\datafield 00d0c9ea79f9bace118c8200aa004ba90b0200000083000000070000005f0062006c0061006e006b000000e0c9ea79f9bace118c8200aa004ba90b68000000680074007400700073003a002f002f006b0065006e00790061006c00610077002e006f00720067002f0061006b006e002f006b0065002f006100630074002f00 32003000310035002f00310038000000795881f43b1d7f48af2c825dc485276300000000a5ab00034900006f0000}}}{\fldrslt {\rtlch\fcs1 \ab\ai\af0\afs24 \ltrch\fcs0 \b\i\f45\fs24\ul\cf18\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 Act}}} \sectd \ltrsect\linex0\headery708\footery708\colsx708\endnhere\sectlinegrid360\sectdefaultcl\sftnbj {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid6700076\charrsid11549123 . \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid14490489\charrsid11549123 \hich\af45\dbch\af0\loch\f45 10.\tab}}\pard\plain \ltrpar\s16\qj \fi-360\li720\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14490489\charrsid11549123 Further reliance was placed }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5524856\charrsid11549123 i}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14490489\charrsid11549123 n }{ \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid14490489\charrsid11549123 Re F.M. Macharia (K) Limited (2017) eKLR}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6101072\charrsid11549123 where it was held that:}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid14490489\charrsid11549123 \par }\pard\plain \ltrpar\qj \li1134\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1134\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid4006887\charrsid11549123 The statutory demand must be dated and be signed by the creditor himself or by a person authorized to make the demand on the creditor\rquote s behalf. The statutory demand must state the amount of t he debt and consideration for it or if no consideration the way if (debt) arises\'85 The statutory demand must include an explanation to the Company of the following matters: (a) Purpose of demand and fact that if demand is not complied with, proceedings may b e initiated for winding up; (b) time for compliance with notice if consequential is to be avoided and (c) methods of compliance open to the company.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid5524856\charrsid11549123 \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6101072\charrsid11549123 In addition, it was submitted that a petition cannot be struck out on mere technicality. Reliance in this respect was placed in }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid6101072\charrsid11549123 Kipsigis Stores Limited ML HC IP N o. 14 of 2016 (2017) eKLR }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6101072\charrsid11549123 where }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8410627\charrsid11549123 the late Onguto J.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6101072\charrsid11549123 held }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8410627\charrsid11549123 as follows}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6101072\charrsid11549123 :}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid14490489\charrsid11549123 \par }\pard\plain \ltrpar\s24\qj \li1418\ri0\sa100\saauto1\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1418\itap0\pararsid11549123 \cbpat8 \rtlch\fcs1 \af0\afs24\alang1025 \ltrch\fcs0 \fs24\lang8192\langfe8192\cgrid\langnp8192\langfenp8192 {\rtlch\fcs1 \ab\af0 \ltrch\fcs0 \cs26\b\f45\cf17\insrsid8410627\charrsid11549123 [40] Clearly, an applica tion to set aside or vacate a statutory notice on the basis of invalidity should be looked at in the light of the full circumstances of the case. The notice should not be set aside on the basis of a mere technicality. Rather regard should be had to all th e circumstances including but not limited to whether the debt is owed as well as whether the overriding objective would be defeated by setting aside the notice. If no injustice flows from the consequences of non-compliance, then it would serve no purpose t o set aside a statutory demand and to cause the statutory demand to be served again at cost.}{\rtlch\fcs1 \ab\ai\af46 \ltrch\fcs0 \b\i\f45\cf17\insrsid8410627\charrsid11549123 \par }\pard\plain \ltrpar\qj \li0\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 11. }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6101072\charrsid11549123 It was further submission of the Petitioner that after the Statutory Notice is signed by the Creditor or his advocate, it must be endorsed by the Deputy Registrar of the High Court before it is }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid8410627\charrsid11549123 served }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid6101072\charrsid11549123 on the creditor. Th}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11759323\charrsid11549123 at the endorsement certifies that the demand has been duly made and lodged with the court. \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12731692\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 12. }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11759323\charrsid11549123 It was submitted that the Statutory Demand is drawn as provided for in the regulations. Th}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3952590\charrsid11549123 at the}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11759323\charrsid11549123 Debtor was served with the Statutory Demand and did not seek to have the same set aside within the statutory period}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3952590\charrsid11549123 and did not}{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5524856\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3952590\charrsid11549123 dispute the sum owing. They }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11759323\charrsid11549123 failed to pay the s}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3952590\charrsid11549123 ame}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11759323\charrsid11549123 .}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3952590\charrsid11549123 The Petitioner urged the court to dismiss the Preliminary Objection. }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11759323\charrsid11549123 \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid1538389\charrsid11549123 Analysis and determination}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid11759323\charrsid11549123 \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 13.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5524856\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 I have considered}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid11289342\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5524856\charrsid11549123 arguments advanced }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 in support of the Preliminary objection and the grounds in opposition thereto. The issues for determination are \endash \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid11289342\charrsid11549123 \hich\af45\dbch\af0\loch\f45 (1)\tab}}\pard\plain \ltrpar\s16\qj \fi-360\li720\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin720\itap0\pararsid11549123\contextualspace \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 Whether the statutory demand can only be signed by the Creditor}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5524856\charrsid11549123 , and}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \ab\af0 \ltrch\fcs0 \f45\insrsid11289342\charrsid11549123 \hich\af45\dbch\af0\loch\f45 (2)\tab}Whether the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 statutory demand ought to be endorsed by the Deputy Registrar of the High Court. }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11289342\charrsid11549123 \par }\pard\plain \ltrpar\qj \li0\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid10760988\charrsid11549123 14. }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 On the first issue the Debtor/Respondent submitted that }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid860940\charrsid11549123 for a statutory notice to be valid it must be }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 sign}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid860940\charrsid11549123 ed by}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 the }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11731262\charrsid11549123 creditor }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 and in so holding relied on the case of }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid3940779\charrsid11549123 Blueline Properties Limited v Mayfair Insurance Company Limited}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid9635329\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 (supra)}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9635329\charrsid11549123 . The Petitioner on the other hand submitted that a statutory Notice can be signed by the C}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid860940\charrsid11549123 reditor}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9635329\charrsid11549123 or his advocate. Reliance was placed in the case of }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid9635329\charrsid11549123 Yang in the Care of Yang Zenghuiv Suraya Properties Group Limited }{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9635329\charrsid11549123 (supra)}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11731262\charrsid11549123 and in }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid9635329\charrsid11549123 Re F.M. Macharia (K) Limited (2017) eKLR }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9635329\charrsid11549123 where it was held that a statutory notice can be signed either by the creditor or his advocate.}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid9635329\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3940779\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11731262\charrsid11549123 \par }\pard \ltrpar\qj \li0\ri0\sa100\saauto1\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 \cbpat8 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11731262\charrsid11549123 Section 384 (1) (a) of the Insolvency Act provides:}{\rtlch\fcs1 \af46\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11731262\charrsid11549123 \par }\pard\plain \ltrpar\s16\qj \li1134\ri0\sa100\saauto1\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1134\itap0\pararsid11549123\contextualspace \cbpat8 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11731262\charrsid11549123 \'93 For the purposes of this Part, a Company is unable to pay its debts-}{\rtlch\fcs1 \af46\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11731262\charrsid11549123 \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11731262\charrsid11549123 a. If a creditor (by assignment or otherwise) to whom the Company is indebted for hundr ed thousand shillings or more has served on the Company, by leaving it at the Company\rquote s registered office, a written demand requiring the Company to pay the debt and the Company has for twenty \endash one days afterwards failed to pay the debt or to secure or compound for it to the reasonable satisfaction of the creditor.\'94}{\rtlch\fcs1 \af46\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid11731262\charrsid11549123 \par }\pard\plain \ltrpar\qj \li0\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 { \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 1}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid10760988\charrsid11549123 5}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 . }{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11731262\charrsid11549123 I have considered }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 the import of the above section and }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11731262\charrsid11549123 the two conflicting decisions of the High Court on whether a Statutory}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3548659\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11731262\charrsid11549123 Notice should be signed only by a creditor or it can also be signed by an agent for the creditor such as an advocate. In my humble view, I think the correct legal pos}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4858805\charrsid11549123 i}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11731262\charrsid11549123 tion is the one espoused }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4858805\charrsid11549123 in the cases of }{ \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4858805\charrsid11549123 Yang in the Care of Yang Zenghui v Suraya Properties Group Limited }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4858805\charrsid11549123 (supra) and in }{ \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4858805\charrsid11549123 Re F.M. Macharia (K) Limited (2017) eKLR}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid4858805\charrsid11549123 , citing }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid4858805\charrsid11549123 Th}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid4858805\charrsid11549123 e }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid4858805\charrsid11549123 Halsbury\rquote s Laws of England\~ 4th Ed Vol 7(2) para 1446 that a statutory demand should be dated and signed by the creditor himself or by a person authorized to make the demand on the creditor\rquote s behalf. }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid4858805\charrsid11549123 An advocate is an agent for the Creditor and can therefore lawfully sign and issue a statutory notice on behalf of his client, the Creditor. I am thus not persuaded by the argument that a statutory }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3548659\charrsid11549123 notice }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid4858805\charrsid11549123 can only be signed by a Creditor. }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid4858805\charrsid11549123 \par }\pard \ltrpar\qj \li0\ri0\sa192\widctlpar\wrapdefault\aspalpha\aspnum\faauto\outlinelevel2\adjustright\rin0\lin0\itap0\pararsid11549123 \cbpat8 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5975427\charrsid11549123 1}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid10760988\charrsid11549123 6}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid5975427\charrsid11549123 . }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3042621\charrsid11549123 T}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3548659\charrsid11549123 he second issue }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3042621\charrsid11549123 is }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid940536\charrsid11549123 on }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3548659\charrsid11549123 whether the Statutory Notice ought to be endorsed by the Deputy Registrar}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3042621\charrsid11549123 of the court. Section 425 }{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 o}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3042621\charrsid11549123 f the Insolvency Act provides for applications to the court for liquidation of companies. }{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 Rule}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3042621\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 77B}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 of the Insolvency Regulations provide as follows}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\cf17\lang1033\langfe8192\langfenp8192\insrsid9525026\charrsid11549123 :}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 \par }\pard \ltrpar\qj \li1134\ri0\sa192\widctlpar\wrapdefault\aspalpha\aspnum\faauto\outlinelevel2\adjustright\rin0\lin1134\itap0\pararsid11549123 \cbpat8 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 77B.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \b\f45\fs24\cf17\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 Liquidation by court \par {\listtext\pard\plain\ltrpar \s16 \rtlch\fcs1 \af0 \ltrch\fcs0 \lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 \hich\af0\dbch\af0\loch\f0 (1)\tab}}\pard\plain \ltrpar\s16\qj \fi-360\li1134\ri0\sa160\sl360\slmult1 \widctlpar\wrapdefault\aspalpha\aspnum\faauto\ls4\adjustright\rin0\lin1134\itap0\pararsid11549123\contextualspace \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 For the purposes of section 425 of the Act an application for liquidation shall be\emdash }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3042621\charrsid11549123 \par }\pard \ltrpar\s16\qj \li1134\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1134\itap0\pararsid11549123\contextualspace {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 (a)}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 by way of a petition in Form 32C as set out in the First Schedule; and \par (b)}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3692913\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 accompanied by a verifying affidavit in Form 32D as set out in the First Schedule. \par }\pard\plain \ltrpar\qj \li1134\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin1134\itap0\pararsid11549123 \rtlch\fcs1 \af0\afs22\alang1025 \ltrch\fcs0 \f31506\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 (2)}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 The petition for liquidation shall be accompanied by the following documents\emdash \par (a)}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 a statutory demand in Form 32E set out in the First Schedule if the reason for petition is indebtedness; and \par (b)}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3042621\charrsid11549123 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang8192\langfe8192\langnp8192\langfenp8192\insrsid3042621\charrsid11549123 a statement of financial position in Form 32 as set out in the First Schedule where necessary. \par }\pard \ltrpar\qj \li0\ri0\sa160\sl360\slmult1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 {\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid11077356\charrsid11549123 1}{ \rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid10760988\charrsid11549123 7}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid11077356\charrsid11549123 . }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3692913\charrsid11549123 Form 32C as set out in the First Schedule is the Liquidation Petition}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid9525026\charrsid11549123 which as held above can be signed by the Creditor or his advocate}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid4535979\charrsid11549123 . }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3692913\charrsid11549123 Form 32D as set out in the Schedule is the verifying affidavit in support of the Petition while Form 32E is the statutory Demand }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid9525026\charrsid11549123 which as indicated in the form is }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid4535979\charrsid11549123 required to be }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \f45\fs24\lang1033\langfe8192\langfenp8192\insrsid3692913\charrsid11549123 signed by the Registrar of the Court where the reason for filing the petition is indebtedness. \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9112142\charrsid11549123 1}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid10760988\charrsid11549123 8}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 . }{ \rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9112142\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3692913\charrsid11549123 The reason for filing the Petition in this case is indebtedness. I find the Statutory Demand to have been properly signed by the Deputy Registrar of this court}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4535979\charrsid11549123 as required by Rule 77B (2)(a) of the Insolvency Regulations Act, 2016.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 The authorities cited by counsel for the Respondent were in respect of situations where the Deputy Registrar signed the Statutory Demand in support of the petition }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid15223703\charrsid11549123 and the same was not signed by the creditor or this advocate,}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid15104451\charrsid11549123 East African Cables Limited v Trans Africa Energy Limited (2022) KEHC }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid12470521\charrsid11549123 12260 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid12470521\charrsid11549123 which}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 was not the case here. The Deputy Registrar }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid15223703\charrsid11549123 in this matter }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 signed the Statutory Demand to confirm the indebt}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13063674\charrsid11549123 ed}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 ness.}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13063674\charrsid11549123 The authorities were therefore not relevant for purposes of this case. }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid9525026\charrsid11549123 }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid3692913\charrsid11549123 \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 1}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid10760988\charrsid11549123 9}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11077356\charrsid11549123 . } {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4535979\charrsid11549123 In view of the foregoing, }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid15937894\charrsid11549123 I}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid4535979\charrsid11549123 find }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid15937894\charrsid11549123 the Statutory Demand was lawfully signed by the advocate on behalf of the Petitioner}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13063674\charrsid11549123 /Creditor}{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid15937894\charrsid11549123 . The same was signed by the Deputy Registrar of this court in accordance with the Regulations. The Preliminary Objection has in the premises no merit and is dismissed with costs to the Petitioner. \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid15937894\charrsid11549123 Delivered, dated and signed at GARSEN this 28}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\super\insrsid15937894\charrsid11549123 th}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid15937894\charrsid11549123 day of May 2026 }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid4535979\charrsid11549123 \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid15937894\charrsid11549123 \par J. N. NJAGI \par JUDGE \par In the presenc}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid11875120\charrsid11549123 e of: \par Miss Nkocho for Petitioner/Creditor}{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid15937894\charrsid11549123 \par }{\rtlch\fcs1 \af0\afs24 \ltrch\fcs0 \b\f45\fs24\insrsid11875120\charrsid11549123 Miss Wafula for Respondent/Debtor \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid11875120\charrsid11549123 Court Assistant - Rahma \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid13523102\charrsid11549123 \par \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid7155261\charrsid11549123 \par }\pard \ltrpar\qj \li0\ri0\sa160\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11549123 {\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 \f45\fs24\insrsid7155261\charrsid11549123 \par \par \par \par \par \par \par \par \par \par \par }{\rtlch\fcs1 \ab\af0\afs24 \ltrch\fcs0 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