ADVOKS GLOBAL · KENYA
Insolvency Act
231. Bankruptcy trustee's powers when secured creditor values property subject to charge and proves for balance
Edition: 2022-12-31 · In force
231. Bankruptcy trustee's powers when secured creditor values property subject to charge and proves for balance
(1)If a creditor who holds a charge or security right over property of a bankrupt values the property and seeks to prove for the balance due, the bankruptcy trustee shall—(a)accept the valuation and the creditor's claim; or(b)reject the valuation and creditor's claim in whole or in part.(2)Within fourteen days after receiving a notice of rejection of the creditor's valuation and claim, the creditor may submit to the bankruptcy trustee a revised valuation and creditor's claim.(3)If the bankruptcy trustee subsequently finds that a decision rejecting a valuation and creditor's claim was wrong, the bankruptcy trustee may revoke or amend the decision.(4)It the bankruptcy trustee accepts the valuation and creditor's claim, the bankruptcy trustee may, at any time before the creditor realises the property, redeem the charge or collateral subject to a security right by paying the amount of the valuation to the creditor.(5)For the purpose of subsection (4), the bankruptcy trustee accepts the valuation and creditor's claim if the bankruptcy trustee—(a)accepts the original or an amended valuation and creditor's claim; or(b)accepts a valuation and creditor's claim after amending or revoking a decision to reject a valuation and creditor's claim.