Mali Mengi (aged 57) died in a road accident on 31 December 2019. On 1 May...

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Mali Mengi (aged 57) died in a road accident on 31 December 2019. On 1 May 2020 after his executors had paid all debts, (except for the mortgage on his freehold house and debt to Mkopeshaji) testamentary and funeral expenses, his estate was ascertained as follows: Sh.'000' Cash in bank accounts Freehold house Toyota corolla Nissan sunny Television and music system Debt due from Pungulu Furniture and personal effects 10,000 ordinary shares in Cement Ltd. 4,500 ordinary shares in Soko Mjinga Ltd. Sh.800,000 10% Kenya stock Income received to date Less: Mortgage interest paid 31 March 2020 1. 2. Extracts from Mali Mengi's will left bequests as follows: 3. 4. ܘ ܣ ܐ ܩ ܩ 7. J Interest Dividend from Soko Mjinga Limited 9. 10. 11. 12. 13. 14. 15. 16. 8. To my driver Ndeleva Sh.150,000 230 37 267 120 To my friend, Mlungu Sh. 100,000. To some of my sisters-in-law Sh.300,000. To my cousin, Nipa, my painting of the Mausoleum by Kikuvu. Sh.'000' 4,250 3,250 360 220 105 40 302 1,200 370 165 147 To each of my sons, Kikwajuni, Mnazini and Mwembeni Sh.1 million. To my wife Darajani, I leave my furniture, household and personal effects and the residue of my estate. To my daughter Nyanjale, my freehold house free of all duties. The house was subject to a mortgage of Sh.1 million earning interest at 24% per annum payable 31 March and 30 September. Duty on the house amounts to Sh.130,000. To my friend Kisitu, one of the motor cars owned by me at the time of my death he may choose. 10,409 To my friend Shimba, my holding of Sh.800,000 110%; Shimba sh.100,000. To my sister Malindi, Sh.300,000. To my personal assistant, Sijapata, half of my holdings in Cement Ltd. To my niece Sinani, 4,000 ordinary shares from my holding of such shares in Cement Ltd. To my nephew Shaibu Sh.200,000 payable out of my shares in Cement Ltd. To my friend Mlungu Sh.50,000 To my neighbor Jirani, Sh. 50,000. To my sister Dada, Sh.100,000 to establish a business. stock. Mali Mengi owed Mali Mengi's executors ascertained that the following beneficiaries were dead: a. Son Mnazini, died in 2017 leaving a wife and two children b. Son Mwembeni, died 2018 leaving a wife. c. Sister Malindi, died in 2016 leaving two daughters. d. Driver, Ndeleva aged 60 died in the same accident as Mali Mengi. It was impossible to determine the order in which Mali Mengi and Ndeleva died. The executors also advise you that: (i) (ii) (iii) (iv) (v) Kisitu chose the Toyota Corolla. Mali Mengi sold his painting of the mausoleum, using the proceeds to purchase his holdings in Soko Mjinga Ltd. There is no such investment as 110% Kenya Stock. The reference in the will to 110% is thought to be a typing error not previously noticed. Jirani replied in writing that he did not want anything from Mali Mengi because Mali Mengi was a bad neighbour. Mali Mengi paid the Sh.100,000 during his lifetime to his sister Dada to establish her business. Required: (a) A statement showing the distribution of Mali Mengi's estate on 1 May 2020. (b) A list of legacies to which the executors should not assent, briefly give reasons for the decision. Mali Mengi (aged 57) died in a road accident on 31 December 2019. On 1 May 2020 after his executors had paid all debts, (except for the mortgage on his freehold house and debt to Mkopeshaji) testamentary and funeral expenses, his estate was ascertained as follows: Sh.'000' Cash in bank accounts Freehold house Toyota corolla Nissan sunny Television and music system Debt due from Pungulu Furniture and personal effects 10,000 ordinary shares in Cement Ltd. 4,500 ordinary shares in Soko Mjinga Ltd. Sh.800,000 10% Kenya stock Income received to date Less: Mortgage interest paid 31 March 2020 1. 2. Extracts from Mali Mengi's will left bequests as follows: 3. 4. ܘ ܣ ܐ ܩ ܩ 7. J Interest Dividend from Soko Mjinga Limited 9. 10. 11. 12. 13. 14. 15. 16. 8. To my driver Ndeleva Sh.150,000 230 37 267 120 To my friend, Mlungu Sh. 100,000. To some of my sisters-in-law Sh.300,000. To my cousin, Nipa, my painting of the Mausoleum by Kikuvu. Sh.'000' 4,250 3,250 360 220 105 40 302 1,200 370 165 147 To each of my sons, Kikwajuni, Mnazini and Mwembeni Sh.1 million. To my wife Darajani, I leave my furniture, household and personal effects and the residue of my estate. To my daughter Nyanjale, my freehold house free of all duties. The house was subject to a mortgage of Sh.1 million earning interest at 24% per annum payable 31 March and 30 September. Duty on the house amounts to Sh.130,000. To my friend Kisitu, one of the motor cars owned by me at the time of my death he may choose. 10,409 To my friend Shimba, my holding of Sh.800,000 110%; Shimba sh.100,000. To my sister Malindi, Sh.300,000. To my personal assistant, Sijapata, half of my holdings in Cement Ltd. To my niece Sinani, 4,000 ordinary shares from my holding of such shares in Cement Ltd. To my nephew Shaibu Sh.200,000 payable out of my shares in Cement Ltd. To my friend Mlungu Sh.50,000 To my neighbor Jirani, Sh. 50,000. To my sister Dada, Sh.100,000 to establish a business. stock. Mali Mengi owed Mali Mengi's executors ascertained that the following beneficiaries were dead: a. Son Mnazini, died in 2017 leaving a wife and two children b. Son Mwembeni, died 2018 leaving a wife. c. Sister Malindi, died in 2016 leaving two daughters. d. Driver, Ndeleva aged 60 died in the same accident as Mali Mengi. It was impossible to determine the order in which Mali Mengi and Ndeleva died. The executors also advise you that: (i) (ii) (iii) (iv) (v) Kisitu chose the Toyota Corolla. Mali Mengi sold his painting of the mausoleum, using the proceeds to purchase his holdings in Soko Mjinga Ltd. There is no such investment as 110% Kenya Stock. The reference in the will to 110% is thought to be a typing error not previously noticed. Jirani replied in writing that he did not want anything from Mali Mengi because Mali Mengi was a bad neighbour. Mali Mengi paid the Sh.100,000 during his lifetime to his sister Dada to establish her business. Required: (a) A statement showing the distribution of Mali Mengi's estate on 1 May 2020. (b) A list of legacies to which the executors should not assent, briefly give reasons for the decision.