ADVOKS GLOBAL · KENYA
The Banking (Liquidation of Institutions) Regulations
7. Public examination of officers and others
Edition: 2022-12-31 · In force
7. Public examination of officers and others
(1)In the winding-up of an institution, the liquidator shall determine whether, in his opinion, any loss has been caused to the institution since its formation by any act or omission (whether or not a fraud has been committed by such act or omission) of a person in the promotion or formation of the institution or of any officer or auditor of the institution.(2)If the liquidator determines that a loss has been caused by an act or omission referred to in subregulation (1), he may apply to the High Court for an order that any officer or auditor of an institution or any person who has taken part in the promotion or formation of the institution shall be publicly examined and the Court shall hold a public sitting on a date to be appointed for that purpose and direct that such person, director or auditor shall attend thereat and shall be publicly examined as to the promotion or formation or the conduct of the business of the institution or as to his conduct and dealings in so far as they relate to the affairs of the institution.(3)The liquidator shall take part in the examination and for that purpose may employ a legal representative of his own choice.(4)Any creditor or contributor may also take part in the examination either personally or by an advocate.(5)The High Court may put such questions to the person examined as it thinks fit.(6)The person examined shall be examined on oath and shall answer all such questions as the High Court may put or allow to be put to him.(7)A person ordered to be examined under this regulation may, at his own cost, employ an advocate who shall be at liberty to put to him such questions as the High Court may deem just for the purpose of enabling him to explain or qualify any answer given by him:Provided that if he is, in the opinion of the High Court, exculpated from any charges made against him, the High Court may allow such costs in its discretion as it may deem fit.(8)Notes of the examination shall be taken down in writing, and shall be read over to or by, and signed by, the person examined.(9)References in this regulation to an officer or auditor of an institution shall include a former officer or auditor of that institution.