THE NUMBER OF BANKRUPT CLAIMS FILED BY INDIVIDUALS INCREASED BY 50% IN TATARSTAN

2021 became a record year for the Arbitration Court of the Republic in terms of the number of filed bankruptcy claims of individuals.  Their number increased by 50%, amounting to 5,726. Experts believe that such growth will continue this year due to the consequences of the pandemic and other social and economic factors.

According to RBC, during the year, 4,178 bankruptcy cases were considered on the basis of lawsuits received by the court.  At the same time, the number of considered cases more than doubled (by 106%), since in 2020 arbitration judges considered only 2032 of such cases.

The head of Tatarstan called for a proper study of the reasons that serve as the basis for bankruptcy.  He urged officials to delve into the situation more deeply, since in the vast majority of cases, the bankruptcy procedure ends with the liquidation of business, which affects the collection of taxes and the functioning of the economy.

Experts note that the factors of the growing number of bankruptcies could be changes in the public consciousness of the citizens of Tatarstan.

Many citizens no longer perceive insolvency proceedings in a negative way.  In addition, the desire to go to court often has objective reasons related to the economic state of the business and the segment of the market it operates in.

Experts also note that Tatarstan has already become a leader in terms of the indicator related to the bankruptcy of firms in the first quarter of 2021.  Obviously, the ruin of large industrial enterprises and agricultural holdings in practice can lead to bankruptcies among company employees and their families.