Kennedy Murray was born around 1771 in Dundonald, Ayr, Scotland. In September, 1786, Murray was convicted in Glasgow of stealing goods from Malcolm Ward, a travelling salesman. The stolen goods included a wooden box, a pair of knittings with buckles and six knives. Murray's trial took place in the Tolbooth of Glasgow on 24 September 1786. As Murray had been committed on at least one previous offence, he was considered by the Magistrate as a thief by habit and repute and was sentenced to 14 years. As the Scottish jails were full, the authorities were forced to take part in the transportation program. Murray earned the dubious honour of being one of the first 20 convicts from Scotland to be transported to New South Wales. Murray left Yarmouth aboard the "Pitt" on 17 July 1791, and arrived in Sydney on 14 February, 1792. Murray was sent to the Toongabbie convict farm and on 1 October 1796, was transferred to Norfolk Island. During his period of detention at Norfolk Island, Murray formed a liaison with Ann White and three children were born from this union: Kennedy, Elizabeth and Sarah. Murray's sentence expired on 1 January 1802, and he left the island on 23 April 1802. Ann White and her children remained on Norfolk Island and formed a liaison with Richard Sydes.
Murray settled at Evan on the Nepean River. On 25 November 1809, Murray received a grant of 30 acres at Evan. On 14 March 1814, Murray married Ann Parker, a former convict. Four children were born from this union: John, William, Henry and James. In 1820 Murray placed Ann in the Lunatic Asylum at Castle Hill. In the early 1820's, Murray was caught stealing chickens from Archibald Bell, a land holder in the area. He was committed for trial but never tried or convicted. On 22 October 1823, Murray's children were admitted to the Cabramatta Boys Orphanage. .
In 1828, Murray was living on 3 acres at Pittwater with his son John and Ann Haines, who was listed as his housekeeper. Kennedy later moved to Evandale, Tasmania. Murray sold his land grant to his granddaugher for 6 shillings as a wedding present. Murray died at Evandale on 18 June 1853. His death certificate listed him as a gentleman.