Background and introduction
1. This Ruling determines the application dated 6th February 2026. The Applicant prays that pending the hearing and determination of this application, a temporary order does issue appointing IP Diana Mumo, a duly licensed insolvency practitioner, as Provisional Liquidator to assume protective custody and supervisory control over the Applicant’s company, Acuity Capital Limited (hereinafter the Company). The Applicant also prays that, pending the hearing and determination of the substantive liquidation petition, the said Provisional Liquidator be vested with custody and control of all assets, books, records, and affairs of the Company.
2. The Applicant prays that the Provisional Liquidator be authorized to consolidate and take custody of all assets of the Company, to preserve and protect the Company’s property from dissipation, to prevent preferential recovery by individual creditors, and to undertake such preliminary administration as may be necessary to preserve the estate.
3. The Applicant further prays that leave be granted for service of this Application, the Petition herein, and any consequent orders upon creditors by way of substituted service through advertisement in a newspaper of nationwide circulation. Finally, the Applicant prays that the costs of this Application be in the cause.
4. The Application is grounded upon the fact that the affairs of the Company are in a precarious state and require immediate intervention to safeguard its assets and protect the interests of its creditors. Unless urgent orders are granted, there exists a real and imminent risk that the property of the Company may be dissipated, misapplied, or subjected to preferential recovery by individual creditors, thereby undermining the collective rights of all stakeholders.
5. It is further grounded upon the necessity of appointing a duly licensed insolvency practitioner, namely IP Diana Mumo, to act as Provisional Liquidator so as to assume custody and supervisory control over the Company’s assets, books, records, and affairs, and to undertake preliminary administration essential for the preservation of the estate pending the hearing and determination of the liquidation petition.
6. The Application is also grounded upon the need to ensure that service of the Petition and any consequent orders upon creditors is effected expeditiously and efficiently, which can only be achieved through substituted service by way of advertisement in a newspaper of nationwide circulation.
Analysis and Determination
7. I have carefully considered the application together with its supporting affidavit. The record demonstrates that the Application was duly served upon the creditor(s), as evidenced by the Affidavit of Service sworn on 10th March 2026. No response has been filed to the application to date. In the circumstances, the Application stands unopposed.
8. In the absence of any evidence to the contrary, and with no objection from the Official Receiver to the application, I am satisfied that the Applicant has established the necessity for the appointment of a Provisional Liquidator over the Company.
9. Although the Applicant has primarily relied on proceedings in E495 of 2024 as evidence of the Company’s precarious financial position, I do note that the application and petition were served upon counsel for the creditor(s) of the Company, who have not disputed the financial status of the Company. In any case, the Applicant has exhibited good faith and diligence by expressing readiness to advertise the petition. This will ensure that other creditors will be duly notified of the insolvency proceedings and afforded an opportunity to participate and be heard. I am persuaded that this measure will serve the broader interests of justice by promoting transparency, safeguarding the collective rights of creditors, and preventing any undue advantage being taken by individual claimants.
10. I am further satisfied that no prejudice will be occasioned to the creditors by the appointment of a Provisional Liquidator, for the reason that the powers conferred upon such office are circumscribed and do not extend to the disposal or alienation of the Company’s assets. Rather, the mandate of the Provisional Liquidator is protective in nature, and is directed towards the preservation, consolidation, and safeguarding of the Company’s property, books, records, and affairs. The objective is to ensure that the estate remains intact pending the hearing and determination of the substantive liquidation petition filed herein.
Disposition
11. Accordingly, the application dated 6th February 2026 is allowed and the following orders do hereby issue:
i. A temporary order be and is hereby issued appointing IP Diana Mumo (A licensed insolvency practitioner) as a Provisional Liquidator to take protective custody and supervisory control over the Applicant’s Company ACUITY CAPITAL LIMITED.
ii. The said Provisional Liquidator is hereby appointed to take custody and control of all assets, books, records, and affairs of the Company Pending the hearing and determination of the Liquidation Petition;
iii. The Provisional Liquidator’s powers shall be limited to
consolidating and taking custody of all assets of the Company;
a) Preserving and protecting the Company’s property from dissipation;
b) Preventing preferential recovery by individual creditors;
c) Undertaking preliminary administration necessary to preserve the estate.
iv. Leave is granted for service of the Petition and any consequent orders upon creditors by way of substituted service through advertisement in a newspaper of nationwide circulation.
v. The costs of this Application shall be in the cause
DATED, SIGNED AND DELIVERED IN NAIROBI
THIS 19th DAY OF MARCH 2026.
F. MUGAMBI
JUDGE
1. This Ruling determines the application dated 6th February 2026. The Applicant prays that pending the hearing and determination of this application, a temporary order does issue appointing IP Diana Mumo, a duly licensed insolvency practitioner, as Provisional Liquidator to assume protective custody and supervisory control over the Applicant’s company, Acuity Capital Limited (hereinafter the Company). The Applicant also prays that, pending the hearing and determination of the substantive liquidation petition, the said Provisional Liquidator be vested with custody and control of all assets, books, records, and affairs of the Company.
2. The Applicant prays that the Provisional Liquidator be authorized to consolidate and take custody of all assets of the Company, to preserve and protect the Company’s property from dissipation, to prevent preferential recovery by individual creditors, and to undertake such preliminary administration as may be necessary to preserve the estate.
3. The Applicant further prays that leave be granted for service of this Application, the Petition herein, and any consequent orders upon creditors by way of substituted service through advertisement in a newspaper of nationwide circulation. Finally, the Applicant prays that the costs of this Application be in the cause.
4. The Application is grounded upon the fact that the affairs of the Company are in a precarious state and require immediate intervention to safeguard its assets and protect the interests of its creditors. Unless urgent orders are granted, there exists a real and imminent risk that the property of the Company may be dissipated, misapplied, or subjected to preferential recovery by individual creditors, thereby undermining the collective rights of all stakeholders.
5. It is further grounded upon the necessity of appointing a duly licensed insolvency practitioner, namely IP Diana Mumo, to act as Provisional Liquidator so as to assume custody and supervisory control over the Company’s assets, books, records, and affairs, and to undertake preliminary administration essential for the preservation of the estate pending the hearing and determination of the liquidation petition.
6. The Application is also grounded upon the need to ensure that service of the Petition and any consequent orders upon creditors is effected expeditiously and efficiently, which can only be achieved through substituted service by way of advertisement in a newspaper of nationwide circulation.
Analysis and Determination
7. I have carefully considered the application together with its supporting affidavit. The record demonstrates that the Application was duly served upon the creditor(s), as evidenced by the Affidavit of Service sworn on 10th March 2026. No response has been filed to the application to date. In the circumstances, the Application stands unopposed.
8. In the absence of any evidence to the contrary, and with no objection from the Official Receiver to the application, I am satisfied that the Applicant has established the necessity for the appointment of a Provisional Liquidator over the Company.
9. Although the Applicant has primarily relied on proceedings in E495 of 2024 as evidence of the Company’s precarious financial position, I do note that the application and petition were served upon counsel for the creditor(s) of the Company, who have not disputed the financial status of the Company. In any case, the Applicant has exhibited good faith and diligence by expressing readiness to advertise the petition. This will ensure that other creditors will be duly notified of the insolvency proceedings and afforded an opportunity to participate and be heard. I am persuaded that this measure will serve the broader interests of justice by promoting transparency, safeguarding the collective rights of creditors, and preventing any undue advantage being taken by individual claimants.
10. I am further satisfied that no prejudice will be occasioned to the creditors by the appointment of a Provisional Liquidator, for the reason that the powers conferred upon such office are circumscribed and do not extend to the disposal or alienation of the Company’s assets. Rather, the mandate of the Provisional Liquidator is protective in nature, and is directed towards the preservation, consolidation, and safeguarding of the Company’s property, books, records, and affairs. The objective is to ensure that the estate remains intact pending the hearing and determination of the substantive liquidation petition filed herein.
Disposition
11. Accordingly, the application dated 6th February 2026 is allowed and the following orders do hereby issue:
i. A temporary order be and is hereby issued appointing IP Diana Mumo (A licensed insolvency practitioner) as a Provisional Liquidator to take protective custody and supervisory control over the Applicant’s Company ACUITY CAPITAL LIMITED.
ii. The said Provisional Liquidator is hereby appointed to take custody and control of all assets, books, records, and affairs of the Company Pending the hearing and determination of the Liquidation Petition;
iii. The Provisional Liquidator’s powers shall be limited to
consolidating and taking custody of all assets of the Company;
a) Preserving and protecting the Company’s property from dissipation;
b) Preventing preferential recovery by individual creditors;
c) Undertaking preliminary administration necessary to preserve the estate.
iv. Leave is granted for service of the Petition and any consequent orders upon creditors by way of substituted service through advertisement in a newspaper of nationwide circulation.
v. The costs of this Application shall be in the cause
DATED, SIGNED AND DELIVERED IN NAIROBI
THIS 19th DAY OF MARCH 2026.
F. MUGAMBI
JUDGE