KENYA – A report by the High Court has confirmed the appointment of Mark Gakuru as the liquidator for Countryside Dairy Limited, a significant step in the company’s ongoing insolvency proceedings.
The appointment, effective from November 21, 2024, followed a Gazette Notice issued under the Insolvency Act, 2015, vesting the company’s affairs in Gakuru’s hands as the official receiver.
According to the High Court, the company’s affairs are now under the control of the official receiver, subject to specific conditions outlined in the order.
The decision follows an ongoing insolvency case, where the company, facing severe financial difficulties, sought court intervention to resolve its obligations.
The High Court’s ruling comes with clear stipulations, including a requirement that no action be taken against Countryside Dairy Limited without prior approval from either the administrator or the court.
Additionally, creditor claims must be submitted through the official platform, where claimants are required to provide proof of their debts as per the Insolvency Act’s guidelines.
In 2023, the Nyahururu-based milk processor was placed under government receivership after facing significant financial challenges.
As part of the liquidation process, the company issued a tender for the disposal of milk ATM machines in December 2023.
This tender, with the reference number OR/OT/02/2023-2024, invited sealed bids from eligible candidates to purchase the equipment.
Interested parties were given the opportunity to inspect the goods during office hours and could obtain tender documents from the Business Registration Service website.
The tender outlined several requirements, including a refundable deposit and the submission of completed tenders by December 28, 2023.
Prices for the items were to be quoted in Kenyan Shillings and remain valid for a specified period after the closing date. The tender process concluded with the opening of bids in the presence of designated representatives from interested parties.
The liquidation of Countryside Dairy Limited marks a critical phase in the company’s financial recovery and the resolution of its obligations under court supervision.
With Mark Gakuru’s appointment as liquidator, the company’s creditors and stakeholders now await the next steps in the liquidation process as they work towards resolving the company’s financial difficulties.
With the official receiver now overseeing the liquidation process, it is expected that the company’s creditors will work through the formal channels to resolve outstanding debts.
The High Court’s intervention ensures that the liquidation process will be conducted with transparency and in line with the legal framework, providing a pathway for creditors to claim debts while safeguarding the interests of all involved parties.
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