ADVOKS GLOBAL · KENYA
Proceeds of Crime and Anti-Money Laundering Act
79. Effect of bankruptcy on realizable property
Edition: 2025-11-04 · In force
79. Effect of bankruptcy on realizable property
(1)When a person who holds realizable property is adjudged bankrupt-(a)the property for the time being subject to a restraint order made before the date of the bankruptcy order; and(b)the proceeds of any realizable property realized because of section 75 and for the time being under the control of a receiver appointed under this Part,does not vest in the Registrar of the High Court, Official Receiver or the Public Trustee.(2)If a defendant who has directly or indirectly made an affected gift to any other person is adjudged bankrupt, the following provisions apply:(a)a court may not set aside the disposition of that gift under the Insolvency Act (Cap. 53)(i)a prosecution for an offence has been commenced against the defendant and the proceedings against the defendant have not been conclude concluded; or(ii)the property of any other person is subject to a restraint order;(b)any court that sets aside a disposition in paragraph (a) after the conclusion of the proceedings against the defendant shall take into account any realization of the property of other persons in accordance with this Part.(3)If a person has been adjudged bankrupt, the powers conferred on the court by sections 64 to 72 and 73(2), or on a receiver appointed under this Part, may not be exercised in respect of any property that-(a)forms part of the bankrupt's estate; or(b)the Official Receiver or a bankruptcy trustee is entitled to claim from the bankrupt under the Insolvency Act (Cap. 53).(4)Nothing in the Insolvency Act (Cap. 53) prohibits a court or a receiver appointed under this Part from exercising a power contemplated in subsection (3) of any property or proceeds referred to in subsection (1)., s. 165)}}