[2021] KEHC 2661 (KLR)
The court found that the applicant, having a judgment in its favour, is entitled to protection of its interests in the liquidation of the 1st respondent. The respondents failed to provide any legal or factual justification to deny the applicant's requests. Therefore, the court granted the orders sought, specifically...
Source-derived case information.
- Citation
- [2021] KEHC 2661 (KLR)
- Parties
- Applicant: Rapid P. Kenya Limited; Respondent: Nitunze Savings and Credit Co-operative Society Limited (In Liquidation); Respondent: Official Liquidator Nitunze Sacco Limited; Respondent: Commissioner of Co-operative Societies; Respondent: Valley Auctioneers
- Court
- High Court
- Court Station
- High Court at Kakamega
- Jurisdiction
- Kenya
- Case Number
- Miscellaneous Application 38 of 2019
- Procedural Posture
- Miscellaneous Application / Ruling on Interlocutory Application
- Outcome
- application allowed
- Judges
- DN Musyoka
- Legal Topics
- Injunctive Relief, Creditor Rights, Liquidation Process
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Rapid P. Kenya Limited
Applicant
Nitunze Savings and Credit Co-operative Society Limited (In Liquidation)
Respondent
Official Liquidator Nitunze Sacco Limited
Respondent
Commissioner of Co-operative Societies
Respondent
Valley Auctioneers
Respondent
Procedural Posture
Miscellaneous Application / Ruling on Interlocutory Application
Legal Issues
- 1 Whether the applicant is entitled to a temporary injunction restraining the respondents from utilizing proceeds from the public auction of LR. No. 8056/322.
- 2 Whether the applicant should be recognized as a creditor and involved in the liquidation process of the 1st respondent.
Ratio Decidendi
The court found that the applicant, having a judgment in its favour, is entitled to protection of its interests in the liquidation of the 1st respondent. The respondents failed to provide any legal or factual justification to deny the applicant's requests. Therefore, the court granted the orders sought, specifically restraining the respondents from utilizing the auction proceeds and recognizing the applicant as a creditor entitled to participate in the liquidation process. The decision was based on the applicant's established legal rights and the absence of any valid opposition from the respondents.
Court Disposition
application allowed
Orders
- Temporary injunction granted restraining the respondents from utilizing proceeds from the public auction of LR. No. 8056/322.
- The applicant is declared a recognized creditor of the 1st respondent and shall be involved in the liquidation process, including the sale of LR. No. 8056/322.
Full Case Text
Judgment text and source record
17 paragraphs
REPUBLIC OF KENYA
IN THE HIGH COURT OF KENYA AT KAKAMEGA
MISCELLANEOUS APPLICATION NO. 38 OF 2019
RAPID P. KENYA LIMITED.................................................................APPLICANT
VERSUS
NITUNZE SAVINGS AND CREDIT
CO-OPERATIVE SOCIETY LIMITED(InLiquidation).........1ST RESPONDENT
OFFICIAL LIQUIDATOR NITUNZE SACCO LIMITED)....2ND RESPONDENT
COMMISSIONER OFCO-OPERATIVE SOCIETIES...........3RD RESPONDENT
VALLEY AUCTIONEERS..........................................................4TH RESPONDENT
RULING
1. The Motion dated 27th March 2019, seeks two principal orders: temporary injunction to restrain the respondents from utilizing the proceeds from the public auction where in LR. No. 8056/322 was sold; that the applicant be declared a recognized creditor of the 1st respondent and be involved in the liquidation process in including sale of LR. No. 8056/322. The applicant has a judgment in its favour, which it seeks to enforce as against the respondents.
2. I have read through through the repylying affidavit by th liquidator, and looked up the relevant law, and I have not seen anything that would justify not granting the orders sought in the applictaion dated 13th March 2019.
3. Consequently, I do hereby allow the Motion dated 15th March 2019, in terms of prayers 4 and 5 of the said Motion. Costs shall be in the cause..
DELIVERED DATED AND SIGNED IN OPEN COURT AT KAKAMEGA THIS 29TH DAY OF OCTOBER 2021
W MUSYOKA
JUDGE