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Kenya Act or statute

Parliament of Kenya

Micro and Small Enterprises Act

This Act may be cited as the Micro and Small Enterprises Act. Defines the phrase "Section whose annual turnover does not exceed five hundred thousand shillings". Provides an enabling business environment.…

Jurisdiction
Kenya
Structure
75 provisions
Citation
Cap. 499C
Dates
As at 31 Dec 2022
More statute details
Dates
As at 31 Dec 2022

Source attribution: Source: Kenya Law

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01

Purpose and legislative effect

“This Act may be cited as the Micro and Small Enterprises Act.”

This Act may be cited as the Micro and Small Enterprises Act. Defines the phrase "Section whose annual turnover does not exceed five hundred thousand shillings". Provides an enabling business environment. The Registrar may publish a notice requiring a registered association or umbrella organization to prove it still exists within three months; if not satisfied after that period the Registrar must cancel the registration and publish notice, and if satisfied beyond doubt may immediately cancel without prior notice. Aggrieved associations or umbrella organizations may appeal the Registrar’s refusal or cancellation to the Tribunal within thirty days, and may further appeal the Tribunal’s decision to the High Court within thirty days on points of law.

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THE MICRO AND SMALL ENTERPRISES AUTHORITY - 38. Common seal

The Authority must keep its common seal in custody (with the Chief Executive Officer or another person it directs) and the seal must be authenticated by the chairperson and the Chief Executive Officer; the Authority may nominate a membe…

Section 38

SETTLEMENT OF DISPUTES - 57. Award of theTribunal

Section 57 gives the Tribunal powers to order attendance, require documents, take evidence on oath, summon witnesses, and (when it enters judgment) must issue a decree enforceable as a court decree; it also lists prohibited conduct such…

Section 57

MISCELLANEOUS PROVISIONS - 75. Transition

Associations or umbrella organizations previously registered under any written law are treated as registered under this Act and must operate subject to necessary modifications to give effect to the Act.

Section 75

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Source record from new.kenyalaw.org · As at 31 Dec 2022

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Showing 75 of 75 provisions

Provision 53Offence 15Commencement 3Short title

Part I

PRELIMINARY

§ 1PRELIMINARY - 1. Short titleShort title

This Act may be cited as the Micro and Small Enterprises Act.

Section 1. Short title Section This Act may be cited as the Micro and Small Enterprises Act.
Section 1Verify source
§ 2PRELIMINARY - 2. InterpretationInterpretation

Defines the phrase "Section whose annual turnover does not exceed five hundred thousand shillings".

Section 2. Interpretation Section whose annual turnover does not exceed five hundred thousand shillings;
Section 2Verify source
§ 3PRELIMINARY - 3. Object and purpose of the ActProvision

Provides an enabling business environment.

Section 3. Object and purpose of the Act Section providing an enabling business environment;
Section 3Verify source

Part II

REGULATION OF MICRO AND SMALL ENTERPRISES

§ 10REGULATION OF MICRO AND SMALL ENTERPRISES - 10. Cessation of existence of anassociation, etc.Provision

The Registrar may publish a notice requiring a registered association or umbrella organization to prove it still exists within three months; if not satisfied after that period the Registrar must cancel the registration and publish notice, and if satisfied beyond doubt may immediately cancel without prior notice.

Section 10. Cessation of existence of anassociation, etc. Section 10(1) If the Registrar has reason to believe that any registered association or umbrella organization has ceased to exist, the Registrar may publish in the Gazette a notice calling upon such association or umbrella organization to furnish the Registrar , within a period of three months from the date of the notice, with proof of its continued existence. Section 10(2) If at the expiration of such period the Registrar is satisfied that the association or umbrella organization has ceased to exist, the Registrar shall cancel the registration of the association or umbrella organization , and shall thereupon publish in the Gazette notice of such cancellation. Section 10(3) If the Registrar is satisfied beyond doubt that a registered association or umbrella organization has ceased to exist, the Registrar may immediately proceed under subsection (2) without having previously published a notice in the Gazette , and the remaining provisions of that subsection shall apply accordingly.
Section 10Verify source
§ 11REGULATION OF MICRO AND SMALL ENTERPRISES - 11. Appeal from order of refusal, cancellation or suspensionProvision

Aggrieved associations or umbrella organizations may appeal the Registrar’s refusal or cancellation to the Tribunal within thirty days, and may further appeal the Tribunal’s decision to the High Court within thirty days on points of law.

Section 11. Appeal from order of refusal, cancellation or suspension Section 11(1) Any association or umbrella organization aggrieved by the Registrar ’s refusal to register it, or by the cancellation or suspension of its registration under section 9 of this Act may, in the case of any other association or umbrella organization, appeal to the Tribunal within thirty days of such refusal, cancellation or suspension. Section 11(2) An association or umbrella organization aggrieved by the decision of the Tribunal under subsection (1) may appeal to the High Court within thirty days on points of law.
Section 11Verify source
§ 12REGULATION OF MICRO AND SMALL ENTERPRISES - 12. Office and postal addressProvision

Registered associations and umbrella organizations must have an office and a postal address and notify the Registrar in the prescribed form when applying for registration; any change of office or postal address must be notified to the Registrar within fourteen days and the notice must be signed by three registered officers.

Section 12. Office and postal address Section 12(1) Every registered association or umbrella organization shall have an office and a postal address, and notice of the situation of the office and of the postal address shall be given to the Registrar in the prescribed form on application for registration. Section 12(2) All communications and notices required or authorized to be sent under, or for purposes of this Act or regulations made thereunder may be sent by post addressed to the postal address of the association or umbrella organization . Section 12(3) A notice in the prescribed form of any change of the situation of the office, or of the postal address, of a registered association or umbrella organization shall be given to the Registrar within fourteen days of the change, and the notice shall be signed by three of the registered officers of the association or umbrella organization . Section 12(4)(a) operates without having an office, or without having a postal address, or without having given notice of the situation of its office or of its postal address as required by subsection (1); Section 12(4)(b) operates at any place to which its office may have been removed without having given notice of the change in the situation thereof to the Registrar as required by subsection (3); or Section 12(4)(c) fails to give notice of any change of its postal address as required by subsection (3),
Section 12Verify source
§ 13REGULATION OF MICRO AND SMALL ENTERPRISES - 13. Change of officers or title of officeOffence

Registered associations and umbrella organizations must notify the Registrar in the prescribed form within fourteen days of any change of officers or office title, and the notice must be signed by three registered officers; failure to give the notice is an offence.

Section 13. Change of officers or title of office Section 13(1) A notice in the prescribed form of any change of officers, or of the title of any office, of a registered association or umbrella organization shall be given to the Registrar within fourteen days of the change, and the notice shall be signed by three of the registered officers of the association or umbrella organization . Section 13(2) Any registered association or umbrella organization which fails to give notice as required under subsection (1) commits an offence.
Section 13Verify source
§ 14REGULATION OF MICRO AND SMALL ENTERPRISES - 14. Disputes as to officersProvision

The Registrar may order a registered association or umbrella organization to produce evidence within thirty days if there is a dispute as to who are the lawful officers; failure to satisfy the Registrar may lead to cancellation of registration; an aggrieved association may appeal to the Tribunal within thirty days of cancellation.

Section 14. Disputes as to officers Section 14(1) If the Registrar is of the opinion that a dispute has occurred among the members or officers of a registered association or umbrella organization as a result of which the Registrar is not satisfied as to the identity of the persons who have been properly constituted as officers of the association or umbrella organization , the Registrar may, by order in writing, require the association or umbrella organization to produce to him or her, within thirty days of the service of the order, evidence of the settlement of the dispute and of the proper appointment of the lawful officers of the association or umbrella organization or of the institution of proceedings for the settlement of such dispute. Section 14(2) If an order under subsection (1) is not complied with to the satisfaction of the Registrar within the period set out in the order or such other longer period as the Registrar may determine, the Registrar may cancel the registration of the association or umbrella organization . Section 14(3) An association or umbrella organization aggrieved by the cancellation of its registration under subsection (2) may appeal to the Tribunal within thirty days of such cancellation.
Section 14Verify source
§ 15REGULATION OF MICRO AND SMALL ENTERPRISES - 15. Contents of constitution or rulesCommencement

Registered associations and umbrella organizations must have constitutions or rules that include the matters in the First Schedule; the Registrar can order existing registered bodies to amend constitutions within three months; contravention is an offence with fines and possible imprisonment; officers can avoid conviction if they prove due diligence and matters beyond their control.

Section 15. Contents of constitution or rules Section 15(1) The constitution or rules of every registered association or umbrella organization , formed after the commencement of this Act shall provide, to the satisfaction of the Registrar , for all the matters specified in the First Schedule to this Act and shall not be amended so that it ceases so to provide. Section 15(2) The Registrar may, by order in writing, require any association or umbrella organization which, at the commencement of this Act, is registered to amend its constitution or rules within three months from the date of the order, to provide for all or any of the matters specified in the First Schedule to this Act, and, notwithstanding its constitution or rules, the association or umbrella organization , for the purpose of complying with the order, shall convene a meeting of the same kind as is required by its constitution or rules for amending its constitution or rules, or if the constitution or rules make no provision for such amendment, the association or umbrella organization shall convene a general meeting of members for the purpose. Section 15(3) If a registered association or umbrella organization contravenes an order given under subsection (2), the association or umbrella organization and every officer thereof each commits an offence, and the association or umbrella organization shall, on conviction, be liable to a fine not exceeding one hundred thousand shillings, and every officer shall be liable to a fine not exceeding one hundred thousand shillings or to imprisonment for a term not exceeding one year, or both. Section 15(4) An officer shall not be convicted of an offence under subsection (3) if the officer establishes to the satisfaction of the court that he or she exercised due diligence to prevent its commission and that the offence occurred by reason of matters beyond his or her control.
Section 15Verify source
§ 16REGULATION OF MICRO AND SMALL ENTERPRISES - 16. Consent ofRegistrarbefore amending name, constitution, etc.Amendment

Associations and umbrella organizations must obtain the Registrar's consent before amending their name or constitution, affiliating with political organizations, or dissolving; applications must be accompanied by certified minutes and delivered to the Registrar within fourteen days; contravention is an offence.

Section 16. Consent ofRegistrarbefore amending name, constitution, etc. Section 16(1)(a) amend its name, or its constitution or rules; Section 16(1)(b) become a branch of, or affiliated to or connected with, any organization or group of a political nature; Section 16(1)(c) dissolve itself, Section 16(2) An application by an association or umbrella organization to do any of the things specified in subsection (1) shall be accompanied by a copy of the minutes of the meeting at which the resolution to do that thing was passed, certified as a true copy by three officers of the association or umbrella organization , and the application shall be delivered to the Registrar within fourteen days from the date on which the resolution was passed. Section 16(3) A registered association or umbrella organization which contravenes this section commits an offence.
Section 16Verify source
§ 17REGULATION OF MICRO AND SMALL ENTERPRISES - 17. Restriction of appointment of certain officers, etc.Provision

An officer of a registered association or umbrella organization must not be appointed as an auditor of that association or organization.

Section 17. Restriction of appointment of certain officers, etc. Section 17(1)(a) to the office of treasurer, deputy treasurer or assistant treasurer of a registered association or umbrella organization ; Section 17(1)(b) to any other office in such an association or umbrella organization the holder of which is responsible for the collection, disbursement, custody or control of the funds of the association or umbrella organization or for its accounts; or Section 17(1)(c) to be trustee or auditor of such an association or umbrella organization . Section 17(2) An officer of a registered association or umbrella organization shall not be appointed as an auditor of that association or organization.
Section 17Verify source
§ 18REGULATION OF MICRO AND SMALL ENTERPRISES - 18. Purporting to act as officerProvision

It addresses acting or purporting to act as an officer of a registered association or umbrella organization without being duly appointed or elected.

Section 18. Purporting to act as officer Section acts or purports to act as an officer of a registered association or umbrella organization , and who has not been duly appointed or elected as an officer of that association or umbrella organization ; or
Section 18Verify source
§ 19REGULATION OF MICRO AND SMALL ENTERPRISES - 19. Register of membersOffence

Registered associations or umbrella organizations must keep a members register with each member's name, address, admission date and cessation date.

Section 19. Register of members Section 19(1) Every registered association or umbrella organization shall keep a register of its members in such form as the Registrar may specify or as may be prescribed, and shall cause to be entered therein the name and address of each member, the date of his or her admission to membership and the date on which he or she ceases to be a member. Section 19(2) A registered association or umbrella organization which contravenes subsection (1), and its officers, commits an offence, and the association or umbrella organization shall be liable on conviction to a fine not exceeding one hundred thousand shillings, and every officer shall be liable to a fine not exceeding one hundred thousand shillings or to imprisonment for a term not exceeding one year, or to both. Section 19(3) An officer shall not be convicted of an offence under subsection (2) if the officer establishes to the satisfaction of the court that he or she exercised due diligence to prevent its commission and that the offence occurred by reason of matters beyond his or her control.
Section 19Verify source
§ 20REGULATION OF MICRO AND SMALL ENTERPRISES - 20. Books of accountOffence

Registered associations and umbrella organizations must keep one or more books of account and enter details of all money received and payments made; contravening this requirement is an offence.

Section 20. Books of account Section 20(1) Every registered association or umbrella organization shall keep one or more books of account, and shall cause to be entered therein details of all moneys received and payments made by the association or umbrella organization . Section 20(2) A registered association or umbrella organization which contravenes subsection (1) commits an offence.
Section 20Verify source
§ 21REGULATION OF MICRO AND SMALL ENTERPRISES - 21. Treasurer to render accountsOffence

The treasurer must render accounts yearly (at times in the association's constitution or rules), when required by members' resolution or rules, and on resigning or vacating office; after accounts are rendered the treasurer or officer must forthwith hand over money, records and property to the successor; contravention is an offence punishable by a fine not exceeding one hundred thousand shillings or imprisonment up to one year, or both.

Section 21. Treasurer to render accounts Section 21(1)(a) at least once in every year at such time as may be specified in the constitution or rules of the association or umbrella organization ; Section 21(1)(b) at any other times at which he or she may be required to do so by a resolution of the members of the association or umbrella organization or by the rules thereof; and Section 21(1)(c) upon resigning or otherwise vacating his or her office, Section 21(2) After account has been rendered under subsection (1), the treasurer or other officer shall, if he or she is resigning or vacating his or her office or if required to do so, forthwith hand over to the succeeding treasurer or officer, as the case may be, such moneys as appear to be due from him or her, and all bonds, securities, effects, books, papers and property of the association or umbrella organization in his or her hands or otherwise under his or her control. Section 21(3) A treasurer or other officer referred to in subsection (1) who contravenes this section commits an offence and shall be liable, on conviction, to a fine not exceeding one hundred thousand shillings or to imprisonment for a term not exceeding one year, or to both.
Section 21Verify source
§ 22REGULATION OF MICRO AND SMALL ENTERPRISES - 22. Inspection of accounts and documentsOffence

Associations must provide books, documents and member lists to the Registrar when required; officers, members, the Registrar, or authorized persons may inspect accounts and documents; obstruction is an offence with specified penalties.

Section 22. Inspection of accounts and documents Section 22(1)(a) any officer or member of the association or umbrella organization at such place and at such times as may be provided for in the constitution or rules of the association or umbrella organization ; or Section 22(1)(b) the Registrar , or by any person authorized by him or her in writing in that behalf, at the office of the Registrar at any reasonable time specified by him or her, if so required in writing by the Registrar . Section 22(2) A registered association or umbrella organization which fails to make available to the Registrar , at his or her office and at the specified time, any books of account, documents or lists of members which he or she has been required under subsection (1) to make so available commits an offence. Section 22(3) A person who obstructs the Registrar or any such authorized person in the carrying out of an inspection under subsection (1) commits an offence and shall be liable, on conviction, to a fine not exceeding twenty thousand shillings or to imprisonment for a term not exceeding six months, or to both.
Section 22Verify source
§ 23REGULATION OF MICRO AND SMALL ENTERPRISES - 23. Meetings of anassociationorumbrella organizationOffence

Registered associations and umbrella organizations must render true accounts of money (audited under their rules) and elect or appoint required officers, trustees, auditors and committees; contravention of these requirements is an offence.

Section 23. Meetings of anassociationorumbrella organization Section 23(1)(a) render a full and true account of the moneys received and paid by the association or umbrella organization , such account being audited in accordance with the rules of the association or umbrella organization ; and Section 23(1)(b) cause to be elected or appointed all such officers, trustees and auditors and, where applicable, such committees as are required in accordance with the constitution and rules of the association or umbrella organization . Section 23(2) A registered association or umbrella organization which contravenes subsection (1) commits an offence.
Section 23Verify source
§ 24REGULATION OF MICRO AND SMALL ENTERPRISES - 24. Annual returnsOffence

Registered associations and umbrella organizations must submit prescribed annual returns, accounts and documents to the Registrar on or before the prescribed date; incomplete returns are treated as not furnished; contravention and falsification are offences with penalties.

Section 24. Annual returns Section 24(1) Every registered association or umbrella organization shall furnish annually to the Registrar , on or before the prescribed date, such returns, accounts and other documents as may be prescribed. Section 24(2) If any return, account or other document furnished under subsection (1) is incomplete in any material particulars, it shall be taken not to have been furnished for the purposes of subsection (1). Section 24(3) A registered association or umbrella organization which contravenes subsection (1) commits an offence. Section 24(4) A person who wilfully makes or orders or causes or procures to be made any false entry in or omission from any return, account or other document furnished under this section commits an offence and shall be liable, on conviction, to a fine not exceeding one hundred thousand shillings, or to imprisonment for a term not exceeding one year, or to both.
Section 24Verify source
§ 25REGULATION OF MICRO AND SMALL ENTERPRISES - 25. Registrar to call for information and accountsOffence

The Registrar may order associations or umbrella organizations to provide specified documents and information; specified minimum compliance periods apply; failure to comply is an offence; audited accounts must be by a person approved by the Registrar.

Section 25. Registrar to call for information and accounts Section 25(1)(a) a true and complete copy of its constitution or rules; Section 25(1)(b) a true and complete list of its officers and members; Section 25(1)(c) a true and complete copy of the minutes of any meeting held by the association or umbrella organization at which officers of the association or umbrella organization were elected or appointed or are ostensibly appointed or elected; Section 25(1)(d) a true and complete return of the number of meetings held by the association or umbrella organization during such period as the Registrar may determine, stating the place or places at which such meetings were held; Section 25(1)(e) the audited accounts of the association or umbrella organization covering such period as the Registrar deems necessary for the purpose for which the order is made; and Section 25(1)(f) such other accounts, returns and other information as may be prescribed. Section 25(2) An order given under subsection (1) shall require compliance therewith within such period as may be specified in the order, which shall not be less than twenty-one days in respect of the documents specified in subsection (1)(a), (b), (c), (d) and (f), and not less than sixty days in respect of the documents specified in subsection (1)(e), but the Registrar may, upon application, extend the period. Section 25(3) Where the Registrar ordered the auditing of accounts under subsection (1)(e), the cost of the audit shall be paid out of the funds of the association or umbrella organization in respect of which the order is made, unless the Registrar otherwise directs. Section 25(4) An association or umbrella organization which, on the ground of its failure to comply with an order to furnish duly audited accounts under this section, has had its registration cancelled under section 36 shall not registered again, and no association or umbrella organization which, in the opinion of the Registrar, is a successor of such an association or umbrella organization, shall be registered, unless in either case, in addition to compliance with the provisions of this Act concerning registration, the application for registration is accompanied by the duly audited accounts required by the order. Section 25(5) A registered association or umbrella organization which fails to comply with an order given under subsection (1) commits an offence. Section 25(6) If any information or document furnished to the Registrar in pursuance of an order given under this section is false, incorrect or incomplete in any material particular, there shall be deemed to have been no compliance with such order. Section 25(7) In this Section, the expression "audited" means audited by a person approved by the Registrar.
Section 25Verify source
§ 26REGULATION OF MICRO AND SMALL ENTERPRISES - 26. Discretion to publish certain informationProvision

The Registrar may publish information received under sections 43 or 53 if doing so appears to be in the interests of members of an association or umbrella organization.

Section 26. Discretion to publish certain information Section The Registrar may, where it appears to him or her to be in the interests of the members of any association or umbrella organization , publish in the Gazette , or by advertisement in any newspaper or in any other manner he or she may deem necessary, any information received by him or her under section 43 or 53 of this Act.
Section 26Verify source
§ 27REGULATION OF MICRO AND SMALL ENTERPRISES - 27. Power to investigateOffence

The Registrar, an administrative officer, or a police officer (Senior Sergeant or above) may in writing require persons believed able to give information about associations to attend at specified places; persons who, without reasonable cause, fail to comply or refuse to give name, address, truthful answers or produce documents commit an offence punishable by a fine not exceeding 100,000 shillings or imprisonment up to six months or both; the requiring officer may record written statements and may order photographs and fingerprints for identification.

Section 27. Power to investigate Section 27(1) The Registrar or any administrative officer or any police officer of or above the rank of Senior Sergeant (in this section referred to as the requiring officer) may, in writing, require any person who he or she has reason to believe is able to give any information as to the existence or operation of any unlawful association or umbrella organization, or suspected unlawful association or umbrella organization, or as to the operations of any registered association or umbrella organization, or as to the operations or property of a association or umbrella organization which has been dissolved or has otherwise ceased to exist, to attend before him or her at a specified time, and such attendance may be required at any police station or police office situated within the district in which that person resides, or for the time being is or is found, or at the office of any administrative officer within such district, or at the office of the Registrar. Section 27(2) Any person who, without reasonable cause, fails to comply with a requirement made under subsection (1) or, having attended in compliance therewith, refuses or fails to give his or her correct name and address and to answer truly all questions that may be properly put to him or her, and to produce all documents in his or her custody, possession or power relating to such association or umbrella organization or suspected association or umbrella organization which he or she has been required to produce, commits an offence and shall be liable, on conviction, to a fine not exceeding one hundred thousand shillings or to imprisonment for a term not exceeding six months, or to both. Section 27(3) The requiring officer may record in writing any statement made to him or her by the person attending before him or her, whether such person is suspected of having committed an offence under any law or not, and any such written statement shall be signed by the person making it after it has been read to him or her in a language which he or she understands, and after he or she has been invited to make any correction he or she may wish. Section 27(4) If any person does anything which constitutes an offence under subsection (2), the requiring officer may, if he or she considers it advisable to provide for the future identification of such person, order that a photograph and impressions of fingerprints of such person be taken, and section 21 (but not including the proviso to subsection (1) thereof) of the National Police Service Act ( Cap. 84 ) shall apply accordingly as though the person were in lawful custody.
Section 27Verify source
§ 28REGULATION OF MICRO AND SMALL ENTERPRISES - 28. Determination of micro and small enterprisesProvision

The Cabinet Secretary must consider the potential and viability of micro and small enterprises when determining which categories will be assisted.

Section 28. Determination of micro and small enterprises Section 28(1)(a) determining categories of micro and small enterprises to be assisted subject to section 31 of this Act; Section 28(1)(b) determining the kind of assistance to be rendered. Section 28(2) In determining the categories of micro and small enterprises to be assisted, the Cabinet Secretary shall consider the potential and viability of the enterprise .
Section 28Verify source
§ 4REGULATION OF MICRO AND SMALL ENTERPRISES - 4.Registrarof micro and small enterprisesProvision

Creates an office of the Registrar of Micro and Small Enterprises, states it is an office in the public service, provides that the office is headed by an officer designated the Registrar, and makes the Registrar responsible for registering micro and small enterprises in accordance with this Act.

Section 4.Registrarof micro and small enterprises Section 4(1) There shall be an office of the Registrar of Micro and Small Enterprises which shall be an office in the public service. Section 4(2) The office of Registrar shall be headed by an officer who shall be designated the Registrar of Micro and Small Enterprises. Section 4(3) The Registrar shall be responsible for the registration of micro and small enterprises in accordance with the provisions of this Act.
Section 4Verify source
§ 5REGULATION OF MICRO AND SMALL ENTERPRISES - 5. Application for registrationProvision

Associations or umbrella organisations that intend to register must apply to the Registrar within twenty-eight days of formation and the applicant must supply specified documents and information.

Section 5. Application for registration Section 5(1) Every association or umbrella organization which intends to be registered under this Act shall, within twenty-eight days after its formation, make an application to the Registrar for registration under this Act. Section 5(2)(a) a copy of the constitution or other constitutive document of the applicant; Section 5(2)(b) names and addresses of the founders of the association or umbrella organization ; Section 5(2)(c) the postal and physical address of the principal place of doing business of the applicant; Section 5(2)(d) the prescribed fee, if any; and Section 5(2)(e) such other particulars or information as may be required by the Registrar in order to assist the Registrar to determine whether or not the organisation meets the requirements for registration under this Act.
Section 5Verify source
§ 6REGULATION OF MICRO AND SMALL ENTERPRISES - 6. Consideration of applicationProvision

Consider the application and any further information provided by the applicant.

Section 6. Consideration of application Section consider the application and any further information provided by the applicant; and
Section 6Verify source
§ 7REGULATION OF MICRO AND SMALL ENTERPRISES - 7. Certificate of registrationProvision

When an association or umbrella organisation is registered, the Registrar must issue a certificate of registration in the prescribed form.

Section 7. Certificate of registration Section Upon registering an association or umbrella organisation, the Registrar shall issue a certificate of registration in the prescribed form.
Section 7Verify source
§ 8REGULATION OF MICRO AND SMALL ENTERPRISES - 8. Refusal of registrationProvision

If the Registrar is satisfied that an association or umbrella organization is a branch of, or affiliated to or connected with, a political organization, that is stated under the heading "Refusal of registration."

Section 8. Refusal of registration Section the Registrar is satisfied that such association or umbrella organization is a branch of, or is affiliated to or connected with, any organization or association of a political nature;
Section 8Verify source
§ 9REGULATION OF MICRO AND SMALL ENTERPRISES - 9. Cancellation of registrationOffence

The Registrar may cancel or suspend the registration of an association or umbrella organization for specified grounds after giving written notice and allowing the association to show cause within the period specified.

Section 9. Cancellation of registration Section 9(1)(a) the association or umbrella organization has, among its objects, or is likely to pursue, or to be used for, any unlawful purpose or any purpose prejudicial to or incompatible with peace, welfare or good order in Kenya; Section 9(1)(b) the interests of peace, welfare, or good order in Kenya would likely be prejudiced by the continued registration of the association or umbrella organization ; Section 9(1)(c) the constitution or rules of the association or umbrella organization are repugnant to or inconsistent with any written law; Section 9(1)(d) the association or umbrella organization has wilfully, and after notice from the Registrar , contravened any of the provisions of its constitution or rules, or the provisions of this Act; Section 9(1)(e) the association or umbrella organization has failed to comply, within the time allowed for compliance, with an order made under this Act; Section 9(1)(f) the association or umbrella organization has dissolved itself; Section 9(1)(g) the management body of the association or umbrella organization is constituted otherwise than in conformity with its constitution or rules; Section 9(1)(h) a person has become an officer of the association or umbrella organization , who has been for some time an officer of an association or umbrella organization which has been refused registration under this Act or which has had its registration cancelled under this section, and the Registrar has given written notice to the association or umbrella organization in the prescribed form that such officer be removed within a period, not being less than seven days from the date of the notice, specified in the notice, and the officer has not been removed within that period; Section 9(1)(i) the association or umbrella organization has failed to furnish, within the time allowed, one of the documents required under this Act; or Section 9(1)(j) the association or umbrella organization is, or has without prior notice to the Registrar in the prescribed form, become a branch of or affiliated to, or connected with, any organization or group of a political nature. Section 9(2) The Registrar shall give written notice in the prescribed form to the association or umbrella organization calling upon the association or umbrella organization to show cause, within such period as is specified in the notice, why its registration should not be cancelled or, as the case may be suspended, and, if the association or umbrella organization fails to show cause to the satisfaction of the Registrar within the time specified, the Registrar may cancel or suspend the registration of the association or umbrella organization as the case maybe. Section 9(3) The Registrar may, with the approval of the Cabinet Secretary , at any time cancel any registration made under this Act. Section 9(4) The Registrar shall cancel the registration of any registered association or umbrella organization which has ceased to be an association or umbrella organization within the meaning of this Act. Section 9(5) Where the registration of an association or umbrella organization is cancelled under this section, the Registrar shall at the same time cancel the registration of every branch of that association or umbrella organization . Section 9(6)(a) the payment of its debts; and Section 9(6)(b) such action as the Registrar may from time to time authorize. Section 9(7) An association or umbrella organization which contravenes subsection (6) commits an offence.
Section 9Verify source

Part III

THE MICRO AND SMALL ENTERPRISES AUTHORITY

§ 29THE MICRO AND SMALL ENTERPRISES AUTHORITY - 29. Establishment of theAuthorityProvision

Establishes the Micro and Small Enterprises Authority and lists powers including suing and being sued; acquiring and disposing of property; borrowing and investing; entering contracts; and performing other acts for its functions.

Section 29. Establishment of theAuthority Section 29(1) There is established an authority to be known as the Micro and Small Enterprises Authority . Section 29(2)(a) suing and being sued; Section 29(2)(b) taking, purchasing or otherwise acquiring, holding, charging or disposing of movable and immovable property; Section 29(2)(c) borrowing money or making investments; Section 29(2)(d) entering into contracts; and Section 29(2)(e) doing or performing all other acts or things for the proper performance of its functions under this Act which may lawfully be done or performed by a body corporate.
Section 29Verify source
§ 30THE MICRO AND SMALL ENTERPRISES AUTHORITY - 30. Composition of the AuthorityProvision

Section 30 sets out the Authority's membership (various named officers and nominated representatives), allows the Authority to co-opt persons for advice, and provides that co-opted persons may not vote or be counted for quorum; it also requires persons to hold a minimum KCSE (or equivalent) and five years' relevant experience to qualify for appointment.

Section 30. Composition of the Authority Section 30(1)(a) a non-executive Chairperson, who shall be a person with knowledge, and at least ten years experience, in business and entrepreneurship development or a related field, appointed by the President; Section 30(1)(b) the Principal Secretary of the Ministry for the time being responsible for matters relating to micro and small enterprises development or his or her representative appointed in writing; Section 30(1)(c) the Principal Secretary of the Ministry for the time being responsible for finance or his or her representative appointed in writing; Section 30(1)(d) the Principal Secretary of the Ministry for the time being responsible for matters relating to industrialization or his or her representative appointed in writing; Section 30(1)(e) the Principal Secretary of the Ministry for the time being responsible for matters relating to trade or his or her representative appointed in writing; Section 30(1)(f) the Principal Secretary of the Ministry for the time being responsible for matters relating to the youth or his or her representative appointed in writing; Section 30(1)(g) manufacturing; Section 30(1)(g)(i) manufacturing; Section 30(1)(g)(ii) one person nominated by the most representative association of women engaged in micro and small enterprises; Section 30(1)(g)(iii) one person nominated by the most representative association of youth engaged in micro and small enterprises; Section 30(1)(g)(iv) one person nominated by the most representative association of persons with disability engaged in micro and small enterprises; Section 30(1)(h) one person nominated by the most representative private sector organization with national membership and having micro and small enterprise support programs; Section 30(1)(i) one person nominated by the most representative umbrella organization of micro finance institutions; Section 30(1)(j) one person, not being a public officer, with knowledge and at least ten years’ experience in micro and small enterprise development; Section 30(1)(k) one person nominated by the umbrella association of workers; Section 30(1)(l) the Chief Executive officer. Section 30(2) The Authority may co-opt to serve on it for such length of time as it deems necessary any number of persons whose assistance or advice it may require, but a person so co-opted shall neither be entitled to vote in a meeting of the Authority nor be counted as a member thereof for the purpose of forming a quorum. Section 30(3) A person shall not qualify for appointment as a member of the Authority unless such person is the holder of a minimum Kenya Certificate of Secondary Education or an equivalent qualification and has at least five years practical experience in matters related to micro and small enterprises.
Section 30Verify source
§ 31THE MICRO AND SMALL ENTERPRISES AUTHORITY - 31. Functions of theAuthorityProvision

theAuthority formulate and review policies and programs for micro and small enterprises

Section 31. Functions of theAuthority Section formulate and review policies and programs for micro and small enterprises;
Section 31Verify source
§ 32THE MICRO AND SMALL ENTERPRISES AUTHORITY - 32. Powers of theAuthorityProvision

The Authority has the power to enter into contracts.

Section 32. Powers of theAuthority Section enter into contracts;
Section 32Verify source
§ 33THE MICRO AND SMALL ENTERPRISES AUTHORITY - 33. Conduct of business and affairs of theAuthorityProvision

The Authority's conduct and regulation of its business and affairs must follow the Second Schedule; except where the Second Schedule provides otherwise, the Authority may regulate its own procedure.

Section 33. Conduct of business and affairs of theAuthority Section 33(1) The conduct and regulation of the business and affairs of the Authority shall be as provided in the Second Schedule. Section 33(2) Except as provided in the Second Schedule, the Authority may regulate its own procedure.
Section 33Verify source
§ 34THE MICRO AND SMALL ENTERPRISES AUTHORITY - 34. Delegation by theAuthorityProvision

The Authority may, by resolution, delegate its powers or functions to a committee or to any member, officer, employee or agent of the Authority.

Section 34. Delegation by theAuthority Section The Authority may, by resolution either generally or in any particular case, delegate to any committee or to any member, officer, employee or agent of the Authority , the exercise of any of the powers or the performance of any of the functions or duties of the Authority under this Act or under any other written law.
Section 34Verify source
§ 35THE MICRO AND SMALL ENTERPRISES AUTHORITY - 35. Chief Executive OfficerProvision

The Authority must appoint a Chief Executive Officer by competitive process; the CEO serves for five years, may be re-appointed for one final five-year term, is an ex officio member without a vote, and has specified management and secretary responsibilities.

Section 35. Chief Executive Officer Section 35(1) There shall be a Chief Executive Officer of the Authority who shall be appointed by the Authority through a competitive process. Section 35(2) The Chief Executive Officer shall hold office for a period of five years, on such terms and conditions of employment as the Authority may determine, and shall be eligible for re-appointment for a further and final term of five years. Section 35(3) The Chief Executive Officer shall be an ex officio member of the Authority but shall have no right to vote at any meeting of the Authority . Section 35(4)(a) subject to the direction of the Authority , be responsible for the day-to- day management of the Authority ; Section 35(4)(b) in consultation with the Authority , be responsible for the direction of the affairs and transactions of the Authority , the exercise, discharge and performance of its objectives, functions and duties, and the general administration of the Authority ; Section 35(4)(c) be the Secretary of the Authority .
Section 35Verify source
§ 36THE MICRO AND SMALL ENTERPRISES AUTHORITY - 36. Qualifications for appointment as Chief Executive officerProvision

Qualifications for appointment as Chief Executive officer: experience in micro and small enterprise development and entrepreneurship.

Section 36. Qualifications for appointment as Chief Executive officer Section experience in micro and small enterprise development and entrepreneurship;
Section 36Verify source
§ 37THE MICRO AND SMALL ENTERPRISES AUTHORITY - 37. StaffProvision

The Authority may appoint officers, agents and other staff as necessary for efficient discharge of its functions and may determine their terms and conditions of service.

Section 37. Staff Section The Authority may appoint such officers, agents and other staff as are necessary for the proper and efficient discharge of the functions of the Authority under this Act, upon such terms and conditions of service as the Authority may determine.
Section 37Verify source
§ 38THE MICRO AND SMALL ENTERPRISES AUTHORITY - 38. Common sealProvision

The Authority must keep its common seal in custody (with the Chief Executive Officer or another person it directs) and the seal must be authenticated by the chairperson and the Chief Executive Officer; the Authority may nominate a member to authenticate in their absence.

Section 38. Common seal Section 38(1) The common seal of the Authority shall be kept in the custody of the Chief Executive officer or of such other person as the Authority may direct, and shall not be used except upon the order of the Authority . Section 38(2) The common seal of the Authority , when affixed to a document and duly authenticated, shall be judicially and officially noticed, and unless the contrary is proved, any necessary order or authorisation by the Authority under this section shall be presumed to have been duly given. Section 38(3) The common seal of the Authority shall be authenticated by the signature of the chairperson of the Authority and the Chief Executive officer, but the Authority shall, in the absence of either the chairperson or the Chief Executive officer, in any particular matter, nominate one member of the Authority to authenticate the seal of the Authority on behalf of either the chairperson or the Chief Executive officer.
Section 38Verify source
§ 39THE MICRO AND SMALL ENTERPRISES AUTHORITY - 39. Protection from personal liabilityProvision

Members, officers, staff, agents and persons acting on their directions are exempt from personal liability for acts done bona fide in executing the Authority's functions, powers or duties under this Act.

Section 39. Protection from personal liability Section 39(1) No matter or thing done by a member of the Authority or by any officer, member of staff, or agent of the Authority shall, if the matter or thing is done bona fide for executing the functions, powers or duties of the Authority under this Act, render the member, officer, employee or agent or any person acting on their directions personally liable to any action, claim or demand whatsoever. Section 39(2) Any expenses incurred by any person in any suit or prosecution brought against him in any court, in respect of any act which is done or purported to be done by him under the direction of the Authority , shall, if the court holds that such act was done bona fide , be paid out of the general funds of the Authority , unless such expenses are recovered by him in such suit or prosecution.
Section 39Verify source
§ 40THE MICRO AND SMALL ENTERPRISES AUTHORITY - 40. Liability for damagesProvision

The Authority remains liable to pay compensation or damages to any person for injury to them, their property or interests caused by exercising powers or by failure of works; section 39 does not relieve that liability.

Section 40. Liability for damages Section The provisions of section 39 shall not relieve the Authority of the liability to pay compensation or damages to any person for any injury to him, his property or any of his interests caused by the exercise of any power conferred by this Act or any other written law or by the failure, wholly or partially, of any works.
Section 40Verify source

Part IV

FINANCIAL PROVISIONS

§ 41FINANCIAL PROVISIONS - 41. Funds of theAuthorityProvision

The Authority's funds include specified sources in subsection (1); the Authority must retain all its funds and year-end balances for its established purposes and must establish a reserve account.

Section 41. Funds of theAuthority Section 41(1)(a) such monies or assets as may accrue to or vest in the Authority in the course of the exercise of its powers or the performance of its functions under this Act; Section 41(1)(b) such moneys as may be payable to the Authority pursuant to this Act or any other written law; Section 41(1)(c) such gifts as may be given to the Authority ; and Section 41(1)(d) all moneys from any other source provided, donated or lent to the Authority . Section 41(2) All the funds of the Authority and the balance at the end of each financial year shall be retained for the purposes for which the Authority is established and shall, for that purpose, establish a reserve account.
Section 41Verify source
§ 42FINANCIAL PROVISIONS - 42. Financial yearProvision

The Authority's financial year is twelve months ending on the thirtieth June each year.

Section 42. Financial year Section The financial year of the Authority shall be the period of twelve months ending on the thirtieth June in each year.
Section 42Verify source
§ 43FINANCIAL PROVISIONS - 43. Annual estimatesCommencement

The Authority must prepare annual revenue and expenditure estimates at least three months before each financial year and must approve and submit those estimates to the Cabinet Secretary before the financial year begins.

Section 43. Annual estimates Section 43(1) At least three months before the commencement of each financial year, the Authority shall cause to be prepared estimates of its revenue and expenditure for that year. Section 43(2)(a) payment of the salaries, allowances and other charges in respect of members and staff of the Authority; Section 43(2)(b) payment of pensions, gratuities and other charges in respect of members and staff of the Authority; Section 43(2)(c) proper maintenance of the buildings and grounds of the Authority; Section 43(2)(d) maintenance, repair and replacement of the equipment and other property of the Authority; and Section 43(2)(e) creation of such reserve funds to meet future or contingent liabilities in respect of retirement benefits, insurance or replacement of buildings or equipment, or in respect of such other matter as the Authority may deem appropriate. Section 43(3) The annual estimates shall be approved by the Authority before the commencement of the financial year to which they relate and, once approved, the sum provided in the estimates shall be submitted to the Cabinet Secretary for approval. Section 43(4) No expenditure shall be incurred for the purposes of the Authority except in accordance with the annual estimates approved under subsection (3), or in pursuance of an authorisation of the Authority given with prior written approval of the Cabinet Secretary, and the Principal Secretary to the National Treasury.
Section 43Verify source
§ 44FINANCIAL PROVISIONS - 44. Accounts and auditProvision

The Authority must ensure proper books and records of accounts are kept for its income, expenditure and assets.

Section 44. Accounts and audit Section 44(1) The Authority shall cause to be kept proper books and records of accounts of its income, expenditure and assets. Section 44(2)(a) a statement of the income and expenditure of the Authority during that year; and Section 44(2)(b) a balance sheet of the Authority on the last day of that year. Section 44(3) The accounts of the Authority shall be audited and reported upon in accordance with the provisions of the Public Audit Act (Cap. 412B).
Section 44Verify source
§ 45FINANCIAL PROVISIONS - 45. Investment of fundsProvision

The Authority may invest its funds in specified securities or approved banks, and may place surplus moneys on deposit with banks it chooses.

Section 45. Investment of funds Section 45(1) The Authority may invest any of its funds in securities in which for the time being trustees may by law invest trust funds, or in any other securities or banks which the Treasury may, from time to time, approve for that purpose. Section 45(2) The Authority may place on deposit, with such bank or banks as it may determine, any moneys not immediately required for the purpose of the Authority .
Section 45Verify source

Part V

DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES

§ 46DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 46.Authorityto advise on zoning, etc, of landProvision

The Authority must advise and liaise with relevant authorities to earmark and zone land for developing micro and small enterprises.

Section 46.Authorityto advise on zoning, etc, of land Section The Authority shall advise and liaise with the relevant authorities for the earmarking and zoning out of land for the development of micro and small enterprises.
Section 46Verify source
§ 47DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 47. Development of infrastructureProvision

The Authority must advise and facilitate government ministries and agencies on worksite management policy and must provide suitable infrastructure and facilities for micro and small enterprises.

Section 47. Development of infrastructure Section The Authority shall advise and facilitate the relevant Government Ministries and other agencies in developing worksite management policy, provide suitable infrastructure, including worksites, social amenities, business information centres, model centres of excellence, common usage facilities and other facilities necessary for development of micro and small enterprises.
Section 47Verify source
§ 48DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 48. Capacity building programmes for micro and small enterprisesProvision

Develop and administer certified demand-driven capacity building and entrepreneurship programmes for micro and small enterprises.

Section 48. Capacity building programmes for micro and small enterprises Section develop and administer certified demand-driven capacity building and entrepreneurship programmes;
Section 48Verify source
§ 49DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 49. Development of markets and provision of marketing servicesProvision

Provide technical assistance in the development of products.

Section 49. Development of markets and provision of marketing services Section provide technical assistance in the development of products;
Section 49Verify source
§ 50DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 50. Technology transfer, acquisition, etc.Provision

Mobilise funds and resources for the development of appropriate technology in relevant research institutions and enterprises that develop technology for the micro and small enterprises sector.

Section 50. Technology transfer, acquisition, etc. Section mobilise funds and resources for the development of appropriate technology in relevant research institutions and enterprises that develop technology for the micro and small enterprises sector;
Section 50Verify source
§ 51DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 51. Micro and Small Enterprises DevelopmentFundProvision

Establishes the Micro and Small Enterprises Development Fund, lists its purposes and funding sources, authorizes the Cabinet Secretary to fix the Fund's size by Gazette notice, and requires the Authority to invest surplus monies in government securities with income credited to the Fund.

Section 51. Micro and Small Enterprises DevelopmentFund Section 51(1) There is hereby established a Fund to be known as the Micro and Small Enterprises Development Fund . Section 51(2)(a) finance the promotion and development of micro and small enterprises in accordance with this Act; Section 51(2)(b) provide affordable and accessible credit to micro and small enterprises; Section 51(2)(c) finance capacity building of micro and small enterprises; Section 51(2)(d) finance research, development, innovation and transfer of technology. Section 51(3) The Cabinet Secretary may, by notice in the Gazette , fix the size of the Fund sufficient to facilitate the promotion and development of micro and small enterprises. Section 51(4)(a) such monies or assets as may accrue to or vest in the Fund under this Act; Section 51(4)(b) such moneys as may be payable to the Fund pursuant to this Act or any other written law; Section 51(4)(c) interest accruing on the Fund ; Section 51(4)(d) such gifts as may be given to the Fund ; and Section 51(4)(e) all moneys from any other source provided, donated or lent to the Fund . Section 51(5) The monies constituting the Fund shall be placed in an account to be used for the promotion and development of micro and small enterprises, and the surplus monies of the fund shall be invested by the Authority in treasury bills, treasury bonds or other securities issued by the Government and any income from the investments shall be credited to the Fund .
Section 51Verify source
§ 52DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 52. Management of the FundProvision

The Authority must administer the Fund.

Section 52. Management of the Fund Section 52(1) The Authority shall administer the Fund. Section 52(2)(a) entering into agreements with financial institutions for the purpose of administering affordable and accessible credit to micro and small enterprises; Section 52(2)(b) approving of all micro and small enterprises development and financing proposals; Section 52(2)(c) entering into agreement with persons for purposes of providing services to the Fund; Section 52(2)(d) opening and managing a bank account for the Fund; Section 52(2)(e) supervising and controlling the administration of the Fund; Section 52(2)(f) causing to be kept books of accounts and other records in relation to the Fund, and preparing, signing and transmitting to the Auditor- General in respect of each financial year and within three months after the end thereof, a statement of accounts relating to the Fund, in such details as the Treasury may direct in accordance with the Public Audit Act (Cap. 412B).
Section 52Verify source
§ 53DEVELOPMENT AND PROMOTION OF MICRO AND SMALL ENTERPRISES - 53. Accessing theFundProvision

Certain organisations may apply to the Authority to access funds for micro and small enterprise programmes; associations or umbrella organisations registered under the Act may apply for loans, factoring, guarantees and micro-insurance from the Fund for their members; the Authority must draw up the Fund's management organisation and regulations.

Section 53. Accessing theFund Section 53(1) Any community-based organisation, non-governmental organisations, association , umbrella organization , or any other institution involved in the promotion and development of the micro and small enterprise sector activities may, on application to the Authority , access funds for various micro and small enterprise programmes. Section 53(2) Any association or umbrella organization registered under this Act may, on an application to the Authority , access funds by way of loan, factoring , guarantee and micro-insurance from the Fund for the benefit of its members. Section 53(3)(a) the procedure to be followed by a person seeking to access funds from the Fund ; Section 53(3)(b) forms to be used while making an application under this section; Section 53(3)(c) the amounts that may be accessed; Section 53(3)(d) the kind of securities that may be given by an applicant under this section; Section 53(3)(e) the rates of interest on the loan; or Section 53(3)(f) the maximum period of loan repayment. Section 53(4) The organization of the management and the Regulations governing the Fund receipts and expenses, custody and use shall be drawn up by the Authority .
Section 53Verify source

Part VI

SETTLEMENT OF DISPUTES

§ 54SETTLEMENT OF DISPUTES - 54. Establishment of theTribunalProvision

There is hereby established a Tribunal to be known as the Micro and Small Enterprises Tribunal to deal with claims enumerated in section 56 of this Act.

Section 54. Establishment of theTribunal Section 54(1) There is hereby established a Tribunal to be known as the Micro and Small Enterprises Tribunal to deal with claims enumerated in section 56 of this Act. Section 54(2)(a) a chairperson and vice-chairperson nominated by the Judicial Service Commission, who shall be persons qualified for appointment as Judges of the High Court, and appointed by the Cabinet Secretary ; Section 54(2)(b) an advocate of High Court of Kenya, with experience of not less than seven years, nominated by the Law Society of Kenya and appointed by the Cabinet Secretary ; Section 54(2)(c) two advocates with expertise in micro and small enterprises matters one of whom shall be the secretary, appointed by the Cabinet Secretary ; and Section 54(2)(d) two persons who have demonstrated exemplary competence in the field of micro and small enterprises management appointed by the Cabinet Secretary in consultation with the Authority . Section 54(3) All appointments to the Tribunal shall be notified through a Gazette Notice. Section 54(4) The chairperson, vice-chairperson and members of the Tribunal shall hold office for a term of five years and shall be eligible for reappointment for one further and final term of five years. Section 54(5)(a) at the expiration of five years from the date of his or her appointment; Section 54(5)(b) if he or she accepts any office the holding of which, if he or she were, not a member of the Tribunal , would make him or her ineligible for appointment to the office of a member of the Tribunal ; Section 54(5)(c) if he or she is removed from office by the Cabinet Secretary for failure to discharge the functions of his or her office (whether arising from infirmity of body or mind or from any other cause) or for misbehaviour; and Section 54(5)(d) if he or she resigns the office of a member of the Tribunal .
Section 54Verify source
§ 55SETTLEMENT OF DISPUTES - 55. Jurisdiction of theTribunalProvision

The Tribunal has jurisdiction to hear the types of disputes listed in Section 55, including disputes among members and commercial disputes involving micro and small enterprises.

Section 55. Jurisdiction of theTribunal Section 55(1)(a) among members, past members and persons claiming through members, past members of associations and or administrators of estate of deceased members of the associations; Section 55(1)(b) between members, past members or administrators of estate of deceased members of the association , and the Authority , or any of their officers or members; Section 55(1)(c) between the Authority and an association , Section 55(2)(a) commercial disputes involving micro and small enterprises; Section 55(2)(b) failure to comply with the terms and condition of allocation of worksites; Section 55(2)(c) election and management of associations; Section 55(2)(d) failure to comply with the constitution or rules of a micro and small enterprise association or umbrella organisation; Section 55(2)(e) unprocedural and illegal allocation, subdivision, subletting of a micro and small enterprise worksite; Section 55(2)(f) mismanagement and misappropriation of funds; Section 55(2)(g) any other dispute acceptable by the Tribunal .
Section 55Verify source
§ 56SETTLEMENT OF DISPUTES - 56. Proceedings of theTribunalProvision

The Tribunal is exempt from the Evidence Act; it must, on written application by a party or referral by the Authority, inquire into matters under this Act and make awards, directions, orders or decisions (and notify those affected); it must sit at times and places it appoints; proceedings are open to the public unless the Tribunal directs otherwise for good cause; the Tribunal shall regulate its proceedings except where this Act or regulations provide otherwise.

Section 56. Proceedings of theTribunal Section 56(1) The provisions of the Evidence Act ( Cap. 80 ) shall not apply to the Tribunal. Section 56(2) The Tribunal shall, upon an application made to it in writing by any party, or a referral made to it by the Authority on any matter relating to this Act, inquire into the matter and make an award, give directions, make orders or make decisions thereon, and every award, direction, order or decision made shall be notified by the Tribunal to the parties concerned, the Authority or any relevant committee thereof, as the case may be. Section 56(3) The Tribunal shall sit at such times and in such places as it may appoint. Section 56(4) The proceedings of the Tribunal shall be open to the public save where the Tribunal , for good cause, otherwise directs. Section 56(5) Except as expressly provided in this Act or any regulations made thereunder, the Tribunal shall regulate its proceedings.
Section 56Verify source
§ 57SETTLEMENT OF DISPUTES - 57. Award of theTribunalOffence

Section 57 gives the Tribunal powers to order attendance, require documents, take evidence on oath, summon witnesses, and (when it enters judgment) must issue a decree enforceable as a court decree; it also lists prohibited conduct such as failing to attend, refusal to take oath or produce documents, giving false evidence, insulting or interrupting proceedings, and failing to comply with Tribunal orders.

Section 57. Award of theTribunal Section 57(1)(a) make such orders for the purposes of securing the attendance of any person at any place where the Tribunal is sitting, discovery or production of any document concerning a matter before the Tribunal or the investigation of any contravention of this Act as it deems necessary or expedient; Section 57(1)(b) take evidence on oath and may for that purpose administer oaths, or Section 57(1)(c) on its own motion, summon and hear any person as witness. Section 57(2)(a) fails to attend the Tribunal after having been required to do so under subsection (1)(a); Section 57(2)(b) refuses to take oath or affirmation before the Tribunal or to answer satisfactorily to the best of his or her knowledge and belief any question lawfully put to him or her in any proceedings before the Tribunal , or to produce any article or document when required to do so by the Tribunal ; Section 57(2)(c) being a public officer, refuses to produce any article or document when lawfully required to do so by the Tribunal , without any lawful cause; Section 57(2)(d) knowingly gives false evidence or information which he or she knows to be misleading before the Tribunal ; or Section 57(2)(e) wilfully insults any member or officer of the Tribunal ; Section 57(2)(e)(i) wilfully insults any member or officer of the Tribunal ; Section 57(2)(e)(ii) wilfully interrupts the proceedings or commits any contempt of the Tribunal ; Section 57(2)(f) fails or neglects to comply with a decision order, direction or notice confirmed by the Tribunal , Section 57(3) Where the Tribunal enters judgement in terms of the award together with costs, it shall issue a decree, inclusive of penalties for non-compliance, which shall be enforceable as a decree of a court. Section 57(4) If, after making an order, the Tribunal discovers that the order was based on a misrepresentation or a concealment of a material fact by either party to the dispute, the Tribunal may order the party guilty of the misrepresentation or concealment to pay the other party such sum as is, in the opinion of the Tribunal , sufficient compensation for any damage or loss suffered by the party as a result of the misrepresentation or concealment.
Section 57Verify source
§ 58SETTLEMENT OF DISPUTES - 58. Quorum of theTribunalSubstitution

Specifies the Tribunal quorum, who must not sit due to interest, decision rule by majority with presiding member's casting vote, Chairperson's solo jurisdiction for temporary injunctions, and substitution rules for incapacity or authorization.

Section 58. Quorum of theTribunal Section 58(1) For the purposes of hearing and determining any cause or matter under this Act, the chairperson or vice-chairperson and two members of the Tribunal shall form a quorum. Section 58(2) A member of the Tribunal who has a direct interest in any matter which is the subject of the proceedings before the Tribunal shall not take part in those proceedings. Section 58(3) Any matter considered by the Tribunal shall be decided by the votes of the majority of the members constituting the Tribunal and voting, and the person presiding shall have a casting as well as a deliberative vote: Provided that any point of law arising, in any proceeding before the Tribunal shall be reserved to, and pronounced upon, by the person presiding exclusively. Section 58(4) Notwithstanding any other provision of this Act, the Chairperson of the Tribunal acting alone shall have jurisdiction to deal with temporary injunctions. Section 58(5)(a) the chairperson is unable to exercise or perform that power or duty owing to illness or absence; Section 58(5)(b) the chairperson authorises the vice-chairperson to exercise or perform that power or duty.
Section 58Verify source
§ 59SETTLEMENT OF DISPUTES - 59. Appeals to the TribunalProvision

Decisions made by the Registrar or the chief executive officer may be appealed to the Tribunal, which can confirm, set aside or vary decisions, exercise the Authority's powers in the proceedings, and make other orders including costs; status quo is to be maintained pending determination.

Section 59. Appeals to the Tribunal Section 59(1)(a) a refusal by the Registrar to grant or recommend registration of association under this Act or regulations made thereunder; Section 59(1)(b) the imposition of any condition, limitation or restriction on the registration of association under this Act or regulations made there under; Section 59(1)(c) the revocation, suspension or variation of registration certificate under this Act or regulations made there under; Section 59(1)(d) the amount of money which he is required to pay as a fee under this Act or regulations made thereunder. Section 59(2) Unless otherwise expressly provided in this Act, where this Act empowers the Registrar or the chief executive officer to make decisions, such decisions may be subjected to an appeal to the Tribunal in accordance with such procedures as may be established by the Tribunal, for that purpose. Section 59(3)(a) confirm, set aside or vary the order or decision in question; Section 59(3)(b) exercise any of the powers which could have been exercised by the Authority in the proceedings in connection with which the appeal is brought; or Section 59(3)(c) make such other order, including an order for costs, as it may deem just. Section 59(4) Upon any appeal to the Tribunal under this section, the status quo of any matter or activity, which is the subject of the appeal, shall be maintained until the appeal is determined.
Section 59Verify source
§ 60SETTLEMENT OF DISPUTES - 60. Appeals to the High CourtCommencement

A person aggrieved by a Tribunal decision may appeal to the High Court within thirty days; the High Court may confirm, set aside, vary, remit or make other orders on appeal.

Section 60. Appeals to the High Court Section 60(1) Any person aggrieved by a decision or order of the Tribunal may, within thirty days of such decision or order, appeal against such decision or order to the High Court. Section 60(2) No decision or order of the Tribunal shall be enforced until the time for lodging an appeal has expired or, where the appeal has been commenced, until the appeal has been determined. Section 60(3)(a) confirm, set aside or vary the decision or order in question; Section 60(3)(b) remit the proceedings to the Tribunal with such instructions for further consideration, report, proceedings or evidence as the Court may deem necessary to give; Section 60(3)(c) exercise any of the powers which could have been exercised by the Tribunal in the proceedings in connections with which the appeal is brought; or Section 60(3)(d) make such other order as it may deem just, including an order as to costs of the appeal or of earlier proceedings in the matter before the Tribunal . Section 60(4) The decision of the High Court on any appeal under this section shall be final.
Section 60Verify source
§ 61SETTLEMENT OF DISPUTES - 61. Power to appoint assessorsProvision

The chairperson of the Tribunal may appoint persons with special skills or knowledge on micro and small enterprise issues to act as assessors in an advisory capacity when such expertise is needed for proper determination of a matter.

Section 61. Power to appoint assessors Section The chairperson of the Tribunal may appoint any persons with special skills or knowledge on micro and small enterprises issues which are the subject matter of any proceedings or inquiry before the Tribunal to act as assessors in an advisory capacity in any case where it appears to the Tribunal that such special skills or knowledge are required for proper determination of the matter.
Section 61Verify source
§ 62SETTLEMENT OF DISPUTES - 62. Power to seek the directions of theTribunalin complex matters, etc.Provision

The Authority may refer complex or important matters to the Tribunal after giving notice; where referred, the Authority and the parties are entitled to be heard and may appear personally or by advocate before any decision.

Section 62. Power to seek the directions of theTribunalin complex matters, etc. Section 62(1) When any matter to be determined by the Authority under this Act appears to it to involve a point of law or to be of unusual importance or complexity, it may, after giving notice to the concerned parties, refer the matter to the Tribunal for direction. Section 62(2) Where any matter has been referred to the Tribunal under subsection(1), the Authority and the parties thereto shall be entitled to be heard by the Tribunal before any decision is made in respect of such matter and may appear personally or be represented by an advocate.
Section 62Verify source
§ 63SETTLEMENT OF DISPUTES - 63. RepresentationProvision

A person who is a party to proceedings before the Tribunal may appear in person or be represented by an advocate.

Section 63. Representation Section A person who is a party to proceedings before the Tribunal may appear in person or be represented by an advocate.
Section 63Verify source
§ 64SETTLEMENT OF DISPUTES - 64. ImmunityOffence

The chairperson and other Tribunal members are immune from being sued for acts or omissions in the discharge of their tribunal duties if they in good faith believed they had jurisdiction; contempt of the Tribunal is an offence and the Tribunal may punish it under the Act.

Section 64. Immunity Section 64(1) The chairperson or other members of the Tribunal shall not be liable to be sued for an act done or omitted to be done or ordered to be done by them in the discharge of their duty as members of the Tribunal , whether or not within the limits of their jurisdiction: Provided they, at the time, in good faith, believed themselves to have jurisdiction to do or order the act complained of. Section 64(2) It shall be an offence for any person to engage in acts or make omissions amounting to contempt of the Tribunal and the Tribunal may punish such person for contempt in accordance with the provisions of this Act.
Section 64Verify source
§ 65SETTLEMENT OF DISPUTES - 65. Expenses of theTribunal, etc.Provision

The Authority must pay the Tribunal's expenses from the Authority's funds; remuneration and allowances are to be paid to the chairperson, vice-chairperson and members as determined by the Cabinet Secretary in consultation with the Authority.

Section 65. Expenses of theTribunal, etc. Section 65(1) The expenses of the Tribunal for the conduct of its business shall be met from the funds of the Authority . Section 65(2) There shall be paid to the chairperson, vice-chairperson and the members of the Tribunal such remuneration and allowances as the Cabinet Secretary may, in consultation with the Authority , determine from time to time.
Section 65Verify source

Part VII

MISCELLANEOUS PROVISIONS

§ 66MISCELLANEOUS PROVISIONS - 66. Proceedings against associations orumbrella organizationOffence

An association or umbrella organization charged with an offence may appear through a representative, who may enter a plea and conduct the organization’s defence.

Section 66. Proceedings against associations orumbrella organization Section 66(1) Where an association or umbrella organization is charged with an offence under this Act or any rules made thereunder, the association or umbrella organization may appear by a representative, who may enter a plea on behalf of the association or umbrella organization and conduct the association or umbrella organization ’s defence on its behalf. Section 66(2) In this section, "representative" in relation to an association or umbrella organization means a person who the court is satisfied has been duly appointed in writing by the association or umbrella organization to represent it, but a person so appointed shall not by virtue of such appointment be qualified to act on behalf of the association or umbrella organization before any court for any purposes other than those specified in this section.
Section 66Verify source
§ 67MISCELLANEOUS PROVISIONS - 67. General penaltyOffence

If an association or umbrella organization is convicted for an offence under this Act where no penalty is provided, the association is liable to a fine up to one hundred thousand shillings; every officer is likewise liable to that fine or to imprisonment for up to six months (or both). An officer is not to be convicted under subsection (1) if they can satisfy the court that they exercised due diligence and the offence occurred due to matters beyond their control.

Section 67. General penalty Section 67(1) Where an association or umbrella organization is convicted of an offence under this Act for which no penalty is expressly provided, the association or umbrella organization shall be liable to a fine not exceeding one hundred thousand shillings, and in addition every officer thereof commits the like offence and shall be liable to the like fine or to imprisonment for a term not exceeding six months, or to both such fine and such imprisonment. Section 67(2) An officer shall not be convicted of an offence under subsection (1) if he or she establishes to the satisfaction of the court that he or she exercised due diligence to prevent its commission and that the offence occurred by reason of matters beyond his or her control.
Section 67Verify source
§ 68MISCELLANEOUS PROVISIONS - 68. Admissibility of certified copies and extractsProvision

Certain papers certified by the Registrar are admissible as prima facie evidence; courts generally must not issue processes compelling production of Registrar documents without the court's leave, and any process issued must state it was issued with the court's leave.

Section 68. Admissibility of certified copies and extracts Section 68(1) In any legal proceedings, a paper purporting to be a copy of or an extract from any register or document kept by the Registrar , and purporting to be certified by him or her as a true copy or extract as aforesaid, shall be admissible as prima facie evidence of the contents of such register or document. Section 68(2) In the absence of evidence to the contrary, it shall be presumed that the signature on any such certificate is genuine and that the person signing it held the office and qualifications which he or she professed to hold at the time when he or she signed it. Section 68(3) No process for compelling the production of any document kept by the Registrar shall issue from any court except with the leave of that court, and any such process which is so issued shall bear a statement that it is issued with the leave of the court. Section 68(4)(a) produce any document the contents of which can be proved under subsection (1); or Section 68(4)(b) appear as a witness to prove the matters, transactions or accounts recorded in any such document,
Section 68Verify source
§ 69MISCELLANEOUS PROVISIONS - 69. Inspection of documents by publicProvision

Anyone may, on payment of the prescribed fees, inspect at the Registrar's office the register and related documents lodged with the Registrar and may obtain a copy or extract.

Section 69. Inspection of documents by public Section On payment of the prescribed fees, any person may inspect at the office of the Registrar the register and any documents relating to any association or umbrella organization lodged with the Registrar under this Act, and may obtain from the Registrar a copy of or extract from such register or document.
Section 69Verify source
§ 70MISCELLANEOUS PROVISIONS - 70. Orders binding if servedProvision

Orders are binding on the association or umbrella organization if served in accordance with section 72 (1) of this Act.

Section 70. Orders binding if served Section upon the association or umbrella organization if served in accordance with section 72 (1) of this Act; and
Section 70Verify source
§ 71MISCELLANEOUS PROVISIONS - 71. Service of summonsProvision

A document sent by registered post is treated as having reached the addressee seven days after posting.

Section 71. Service of summons Section 71(1)(a) on an association or umbrella organization , if it is sent by registered post addressed to it at its registered postal address; or Section 71(1)(b) on an individual, if it is served or is sent by registered post addressed to him or her at the registered postal address of the association or umbrella organization with which he/her is concerned. Section 71(2) Any document served by being sent by registered post shall be deemed to have reached the person or association or umbrella organization to whom or to which it is addressed at the end of seven days from the day in which it is posted.
Section 71Verify source
§ 72MISCELLANEOUS PROVISIONS - 72. Indemnification of public officersProvision

Public officers are exempt from being sued for acts or omissions done in good faith and without negligence while performing powers or duties under this Act.

Section 72. Indemnification of public officers Section No suit shall lie against any public officer for anything done or omitted to be done by him or her in good faith and without negligence in the intended exercise of any power or the intended performance of any duty conferred or imposed on him or her by or under this Act.
Section 72Verify source
§ 73MISCELLANEOUS PROVISIONS - 73. Annual reportProvision

The Authority must prepare and submit an annual report to the Cabinet Secretary within three months after the end of each financial year; the Cabinet Secretary must, within three months after receiving the report, transmit it to the Clerk of the National Assembly for tabling.

Section 73. Annual report Section 73(1) The Authority shall, within three months after the end of each financial year, prepare and submit to the Cabinet Secretary a report of the operations of the Authority for the immediately preceding year. Section 73(2)(a) details of the performance of the Authority against its key performance indicators; Section 73(2)(b) report on the overall status, progress, impact and challenges or impediments in the implementation of the micro and small enterprises development policies and programmes as well as the appropriate measures to address any challenges that should be taken by the various Government Ministries or Departments, including the Authority ’s projections; Section 73(2)(c) a report on the growth and development of micro and small enterprises in the country; Section 73(2)(d) such information and other material as the Authority may be required by this Act or regulations made thereunder to include in the annual report; and Section 73(2)(e) such additional information or other material as the Cabinet Secretary may request in writing. Section 73(3) In addition to what is required under subsection (2), the annual report shall include the financial statements of the Authority for the year to which the report relates. Section 73(4) The Cabinet Secretary shall, within three months after receiving the annual report, transmit it to the Clerk of the National Assembly for tabling before the National Assembly.
Section 73Verify source
§ 74MISCELLANEOUS PROVISIONS - 74. RegulationsOffence

The Cabinet Secretary may, in consultation with the Authority, make regulations to prescribe matters under the Act and to give effect to its provisions, including forms, fees, licensing, loan access, account forms, returns and penalties.

Section 74. Regulations Section 74(1) The Cabinet Secretary may, in consultation with the Authority , make Regulations for prescribing anything which under this Act may be prescribed, and generally for the better carrying into effect the provisions of this Act. Section 74(2)(a) forms and fees or any levies to be used under this Act; Section 74(2)(b) regulation and licensing of business development service providers; Section 74(2)(c) access of loans granted under section 53 (2) by micro and small enterprises; Section 74(2)(d) prescribing the form of accounts to be used by associations or umbrella organization ; Section 74(2)(e) securing the submission to the Registrar of periodical returns relating to the constitution, rules, membership and management of associations or umbrella organization ; Section 74(2)(f) prescribing penalties for the breach of any such regulations.
Section 74Verify source
§ 75MISCELLANEOUS PROVISIONS - 75. TransitionProvision

Associations or umbrella organizations previously registered under any written law are treated as registered under this Act and must operate subject to necessary modifications to give effect to the Act.

Section 75. Transition Section An association or umbrella organization previously registered under any written law shall be deemed to have been registered under this Act and shall operate subject to modifications as shall be necessary to give effect to this Act.
Section 75Verify source

Legislative relationships

6 referenced instruments

Names are derived from the stored provision headings and citation-enrichment layer. Treat this as a research index and verify each relationship against the source text.

A–F

4 instruments

  • Act Provides an enabling business environment. Section 3. Object and purpose of the Act

    Section 3

  • Authority shall be audited and reported upon in accordance with the provisions of the Public Audit Act

    Section 44

  • Authority under this Act

    Sections 34, 37, 39

  • Evidence Act

    Section 56

N–S

1 instrument

  • National Police Service Act

    Section 27

T–Z

1 instrument

  • Tribunal is an offence and the Tribunal may punish it under the Act

    Section 64

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  • 31 Dec 2022 · currentEnglish

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