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{
    "id": 575425,
    "url": "https://info.mzalendo.com/api/v0.1/hansard/entries/575425/?format=api",
    "text_counter": 248,
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    "content": "they are known. There are cases where companies have been dissolved and the shareholders of those companies suffer a lot because they have invested, but they are not brought up to speed with information on what is taking place. The Bill also provides for voluntary liquidation, which individuals or companies could opt for. The circumstances under which voluntary liquidation can take place are provided. The Bill will also ensure that the appointment of liquidators is done properly for those who opt to go for voluntary liquidation. Provisions have also been made in terms of how general companies could be liquidated. This is very important because we are going to make sure that the process of dissolving companies is properly done within the law. The Bill also makes provision for appointment and replacement of administrators. What is very critical and important to me are the qualifications and duties of such administrators. The necessary qualifications and duties of the administrators are clearly spelt out. At the same time, the Bill makes provision for the procedure of making administrative orders by the administrators so that such orders are properly documented and it is not done in a haphazard manner. This is going to ensure that, as we move forward, the necessary legal framework for insolvency or dissolution of companies is in place. The powers of the administrators are clearly stated, meaning that the administrators will be working within a defined boundary so that they do not do things which are outside their mandate. This Bill is a very big move towards proper management and dissolution of our companies. It is going to go a long way in providing the necessary enabling environment for businesses to thrive in this country. If the enabling environment is provided through this legal framework, then many investors will be attracted to do business in our country. At the end of the day, this is going to contribute to the economic growth and in the long run, we will be helping our people to get out of the poverty bracket. So, this Bill is very timely. It has taken a lot of time to have this Bill in place. As a House, we made the first attempt and it had to go back to be re-drafted. I am happy that the Departmental Committee on Justice and Legal Affairs has made some improvements in the drafting of the Bill. When it becomes law, it is going to be very important to our country. As I conclude, for the first time in the history of Kenya, we are going to have a law – if it is assented to by the President - that enables companies to be dissolved in an organized manner. This will take care of all the interests of creditors, shareholders and directors. Nobody will be left complaining after a company is wound up. So, I support this Bill and urge Members of this House to support it so that it can become law. With those remarks, Hon. Temporary Deputy Speaker, thank you for giving the chance."
}