ADVOKS GLOBAL · KENYA
Insolvency Act
581. Company under administration not to perform management functions without administrator's consent
Edition: 2022-12-31 · In force
581. Company under administration not to perform management functions without administrator's consent
(1)A company under administration, or an officer of a company under administration, shall not perform or exercise a management function without the consent of the administrator.(2)For the purpose of subsection (1)—(a)"management function" means a function or power that could be performed or exercised so as to interfere with the exercise of the administrator' s functions; and(b)consent may be general or specific.(3)A company that contravenes subsection (1) commits an offence and on conviction is liable to a fine not exceeding one million shillings.(4)An officer of a company who contravenes subsection (1) commits an offence commits an offence and on conviction is liable to a fine not exceeding five hundred thousand shillings or to imprisonment for a term not exceeding six months, or to both.