Peter Kahi from PKF Consulting has been tasked with supervising the liquidation of in the red retailer Ukwala Supermarket.
The announcement was made in a notice posted in local dailies yesterday and to that effect, Mr. Kahi has called on Ukwala Supermarket creditors to file their claims before the start of next month in order to be considered in the liquidation process.
“Creditors of the company are required on or before 31 July 2019 to send full particulars of all claims they may have against the company,” the notice reads in part.
According to a news report by the Business Daily, the move follows a High Court decree issued last month that called for the permanent closure of the retailer over its incapacity to pay back debt that is projected to be around Ksh. 1 billion.
Retailers have been feeling the effects of increased competition in a local Kenyan market that has become flooded with new entrants such as French based retailer Carrefour who have destabilized the country’s customer base forcing some supermarkets such as Ukwala and Nakumatt to close numerous outlets which has resulted in losses.
Ukwala’s liquidation underlines a growing trend in the country that has seen companies and agencies alike having their businesses closed and assets shared between claimants for failure to balance their books and make profit.
Just last month account holders at lender Meridien BIAO Bank that shut down operations almost two decades ago got some relief after it was announced that they will be paid part of their Sh781 million deposits by the Kenya Deposit Insurance Corporation (KDIC) if they can provide evidence of their claims. Similarly KDIC also informed Kenyans who had made deposits in failed lender Reliance Bank, which collapsed during the Moi regime, that they will have a year to file claims from the agency.