FEDERAL ANTIMONOPOLY SERVICE CRITICISED THE DRAFT LAW ON FORECLOSURE AUCTIONS OF THE PROPERTY OF DEBTORS IN BANKRUPTCY

The draft law on the auction of property of debtors in bankruptcy, which has been recently finished by the Ministry of Economic Development, has faced criticism from the side of the Federal Antimonopoly Service.

The FAS considers the adoption of the draft law in the prepared version excessive and does not see the need to create a separate bidding procedure for the property of bankrupt debtors.

Instead of it, the Antimonopoly Service is proposing an amendment to the insolvency law that will make it possible to bid not on the preliminary applications, but on the basis of a real pricing proposal for the acquisition of property.

As for the monitoring and recording of actions carried out within the framework of the auction of debtors' property, the FAS proposes to use the functioning system of "Independent Registrar" for their implementation.

It should be noted that at the moment, the Ministry of Economic Development and Trade and the FAS are developing a draft law that will establish a general procedure for the auctions that are mandatory by law. Probably, these actions may include the foreclosure auctions of the property of the bankrupt debtors.