Interpretation.

TRANSITIONAL PROVISIONS

1. In this Part, unless the context requires otherwise;

"assets" include all property movable or immovable and all, estates, easements and rights whether equitable or legal in, over or out of property, choses-in-action, money or goodwill of the former Corporation whether situated in Kenya or elsewhere;

"Company" means the Telkom Kenya Limited registered under the Companies Act, and having its registered office at Nairobi;

"Corporation" means the Postal Corporation of Kenya established by the Postal Corporation of Kenya Act, 1998;

"former Corporation" means the Kenya Posts and Telecommunications Corporation Act (now repealed).

"liabilities" means liabilities, debts, charges, duties and obligations of every description, whether present or future, actual or contingent, and whether to be observed or performed in Kenya or elsewhere;

"rights" means all rights, powers, privileges and immunities whether actual, contingent or prospective, whether observed or performed in Kenya or elsewhere;

"vesting day" means the day specified by the Minister for Finance under paragraphs of this Schedule.

Provided that the Minister may by notice in the Gazette dissolve the Board of Directors referred to in this subsection upon the completion of the winding up of the affairs of the former Corporation.

(a) telephone services and constructing, maintaining and operating telephone apparatus conferred on the former Corporation by section 59 (1); and

(b) telegraph services and of constructing, maintaining and operating telephone apparatus conferred on the former Corporation by section 70;

shall lapse upon the commencement of this provision.

(a) the Commission, in respect of assets and liabilities relating to regulatory services;

(b) the Company, in respect of assets and liabilities relating to telecommunication services; and

(c) the Corporation, in respect of assets and liabilities relating to postal services.

(2) References in this Schedule to assets and liabilities of the former Corporation shall be references to all such assets and liabilities, whether or not capable of being transferred or assigned by the former Corporation.

(3) A notice under subsection (1) shall specify the assets and liabilities of the former Corporation which are to be transferred to the Commission, the Company, or the Corporation, as the case may be.

(4) If, on the vesting day, any suit, appeal, arbitration or other proceedings of whatever nature and wheresoever instituted in relation to the business of the former Corporation which is by virtue of this section, transferred to the Commission, Company, or, the Corporation, as the case may be, shall
not abate, be discontinued or be in any way prejudicially affected by reason of such transfer of the business of the former Corporation or of anything contained in this Act, and any suit, appeal arbitration or other proceedings shall be continued, and enforced by or against the Commission, Company or, the Corporation, as the case may be.

(5) In the case of assets and liabilities arising under any loans which vest in the Commission, the Company or the Corporation, as the case may be on the vesting day, the Commission, the Company or the Corporation as the case may be, may enter into such arrangements or agreements over such rights and liabilities with the Government or any other third party.

(6) Any assets and liabilities of the former Corporation which are not to be vested either in the Commission, the Company or the Corporation as the case may be, shall be disposed of in such manner as the Minister for Finance shall determine.

(2) Except as otherwise provided in this Act, any agreement made, transaction effected or other thing done by, to or in relation to the former Corporation which is in force or effective immediately before the vesting day shall have effect as from that day as if made, effected or done by, to or in relation to the Commission, the Company or the Corporation as the case may be , were the same person, in law, as the former Corporation, and accordingly, references to the former Corporation -

(a) in any agreement (whether or not in writing) and in any deed, bond or instrument; and

(b) in any other document whatsoever (other than an enactment) relating to or affecting any asset or liability of the former Corporation which vests by virtue of paragraph 5 of this Schedule in the Commission, the Company or the Corporation, as the case may be, shall be taken with effect from the vesting date as referring to the Commission, the Company or the Corporation, as the case may be.

(2) Where on the vesting day -

(a) any disciplinary proceedings against any employee of the former Corporation, are in the course of being heard or instituted, or have been heard or investigated by the former Corporation but no order or decision has been made thereon; or

(b) any such employee is interdicted or suspended, the Commission, Company, the Corporation, as the case may be, shall-

(i) in the case of paragraph (a), carry on and complete the hearing or investigation and make an order or render a decision, as the case may be; and

(ii) in the case of paragraph (b), deal with such employee in such manner as it thinks appropriate having regard to the offence committed by him, including the completion of disciplinary proceedings making of an order or the rendering of a decision, as the case may be, as if such disciplinary proceedings have been commenced by the Commission, the Company, or the Corporation, as the case may be.

(3) Where on the vesting day, any penalty (other than dismissal) has been imposed on any employee of the former Corporation pursuant to disciplinary proceedings against him and the penalty has not been, or remains to be, serviced by such employee, he shall on his transfer to the Commission, the Company, or, the Corporation, as the case may be, under subsection (1) serve or continue to serve such penalty to its full term as if it had been imposed by the Commission, the Company or, the Corporation as the case may be.