ADVOKS GLOBAL · KENYA
Pensions Act
14. Pensions, etc., to cease on bankruptcy
Edition: 2022-12-31 · In force
14. Pensions, etc., to cease on bankruptcy
(1)Where before the 1st July, 1999 any person to whom a pension or other allowance has been granted under this Act is adjudicated bankrupt or is declared insolvent by judgment of a court, then the pension or allowance shall forthwith cease.(2)Where any officer is adjudicated bankrupt or declared insolvent by judgment of a court as provided in subsection (1) either—(a)after retirement in circumstances in which he is eligible for pension, gratuity or other allowance under this Act, but before the pension, gratuity or other allowance is granted; or(b)before such retirement, and he has not obtained his discharge from bankruptcy or insolvency at the date of retirement,then, in the former case, any pension or other allowance eventually granted to him shall cease as from the date of adjudication or declaration, as the case may be, and in the latter case the pension or other allowance may be granted, but shall cease forthwith and not become payable, and in either case the gratuity may be granted but shall not be paid to him.(3)Where a pension or other allowance ceases, or where any gratuity is not paid, by reason of this section, the President may from time to time during the remainder of the person’s life, or during such shorter period or periods, either continuous or discontinuous, as the President thinks fit, direct all or any part of the moneys to which that person would have been entitled by way of pension, gratuity or other allowance, had he not become bankrupt or insolvent, to be paid to, or applied for the maintenance or benefit of, all or any, to the exclusion of the other or others, of the following, that is to say, such person and his wife, child or children, or such other dependants as the President may determine, in such proportion and manner as the President thinks proper; and the moneys shall be paid or applied accordingly.(4)Moneys applied for the discharge of debts of the person whose pension or other allowance has ceased, or whose gratuity has not been paid, by reason of this section, shall, for the purposes of this section, be regarded as applied for his benefit.(5)Where a person whose pension or other allowance has ceased, or whose gratuity has not been paid, by reason of this section, obtains his discharge from bankruptcy or insolvency, the President may direct that the pension or other allowance shall be restored and the gratuity, or so much thereof (if any) as remains after deducting any payments made under subsection (3), paid as from the date of the discharge or any later date; and the pension or other allowance shall be restored, and the gratuity or remainder thereof (if any) paid, accordingly.