ADVOKS GLOBAL · KENYA
Agricultural Finance Corporation Act
31. Corporation may withhold loan where debtor in default
Edition: 2022-12-31 · Repealed
31. Corporation may withhold loan where debtor in default
If a loan is made and—(a)at any time any sum of money, whether principal or interest, due in respect of the loan is unpaid; or(b)the Board considers that the loan has not been applied to the purposes for which it was made or has not been carefully and economically expended; or(c)the debtor becomes insolvent, or is sentenced to imprisonment without the option of a fine, or conveys or assigns his property for the benefit of his creditors generally, or makes a composition or arrangement with his creditors, or (the debtor having died) his estate is or is about to be administered in bankruptcy; or(d)there has been a breach of any other condition of the loan; or(e)the loan is not applied within such time as the Corporation may consider reasonable to the purpose for which it was made,the Corporation may in addition to any other remedies refuse to pay any portion of the loan which has been approved but not yet paid.