ADVOKS GLOBAL · KENYA
Insolvency Act
129. Transfer of shares after disclaimer
Edition: 2022-12-31 · In force
129. Transfer of shares after disclaimer
(1)After disclaimer, the bankruptcy trustee may, subject to any other written law and to the company's constitution, transfer the relevant shares to any person who has an interest in them.(2)If that person refuses to accept the transfer, or if no person has an interest in them, the bankruptcy trustee may transfer the shares to the bankrupt if the bankrupt consents, and in that case the bankrupt is entitled as against the bankruptcy trustee to retain the shares and the proceeds if the bankrupt sells them.(3)If the bankruptcy trustee does not transfer the shares to a person who has an interest in them or to the bankrupt, the directors of the company may—(b)with the Court's approval and whatever any other written law may provide, cancel the shares if they believe it is in the company's best interests to do so.(4)The bankruptcy trustee is a director of the company for the purposes of transferring, selling, or cancelling the shares under this section if—(a)immediately before the bankruptcy commenced, the bankrupt was a director of the company; and(b)the number of directors is fewer than the minimum number of directors required by the Companies Act (Cap. 486) or the company's constitution as a result of the bankrupt's disqualification as a director.