The only way Ken doesn't have to pay priority Divs on those shares is if he destroys them.
And legally he cannot destroy Ukyo's seized assets. He can only sell them to recover his losses and then return the remainder back to Ukyo. These shares remain the property of Ukyo until they are sold to a third party.
Yes I know I said this above. Man this is the biggest Ouroboros of a conversation I've ever seen. Ok guys lets just forget about Ukyo's shares for now. We need to worry about our 9.8M shares that are nonexistant at the moment.