THE SUPREME COURT RESOLVED THE DISPUTE ABOUT THE WRIT OF EXECUTION IN THE CASE INVOLVING VTB

The courts refused to issue a writ of execution necessary for the return of property to the bankruptcy estate to the financial manager of a bankrupt citizen. The Supreme Court checked the decisions of the lower instances and adopted a new one, obliging the Moscow Arbitration Court to issue a document to the manager. This is stated in the file of arbitration cases.

Gabriel Ben-Eli was declared bankrupt, and the donation of non-residential real estate between his wife and daughter was invalid. The second procedure was initiated by VTB Bank. The financial manager asked to issue him a writ of execution for the enforcement of the decision, but the courts considered Gabriel's wife to be the recoverer of this document, who did not apply with the corresponding request.

The appeal stressed that a debt restructuring procedure has been introduced against the woman, in connection with which the issuance of a writ of execution to the financial manager may lead to "a conflict of material and legal interests of the debtor's creditor groups and his spouse."

The Arbitration Court of the Moscow District also refused to issue the document.

VTB Bank's lawyers filed a complaint with the Supreme Court. In their opinion, the writ of execution in this case should be issued to the person in whose interests the judicial act was adopted, because when challenging a transaction within the framework of the debtor's bankruptcy, the interests of the bankruptcy estate are opposed to the interests of the parties to the transaction. Moreover, the mere existence of an alternative method of execution of a judicial act cannot exclude the possibility of issuing a writ of execution.

According to representatives of the financial organization, the conflict of groups of creditors of the debtor and his spouse is excluded, the majority in both registers is owned by the bank itself.

The Supreme Court reviewed the complaint and overturned the decisions of the lower courts, ordering to issue a writ of execution to the manager and return the property to the bankruptcy estate.

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