WHEN THE DEBT DOES NOT DISAPPEAR AFTER THE FIRST BANKRUPTCY PROCEDURE

The bank applied to the court for declaring the citizen bankrupt due to the debt, from which the debtor was not released in the first bankruptcy case (case no. A40-287148/24).

The courts of two instances terminated the proceedings in the case, concluding that it was unacceptable for the same creditor to apply to the court again with an application for declaring the debtor bankrupt on the same grounds. 

The cassation sent the case for a new hearing and pointed out the following: 

• According to the law, an application for declaring a citizen bankrupt may be filed by a bankruptcy creditor or an authorized body if there is a court decision confirming creditors' claims for monetary obligations. An application for declaring a citizen bankrupt is accepted by an arbitration court, provided that the claims against the citizen amount to a certain amount and the specified claims are not fulfilled within the prescribed period. 

• In the event of termination of bankruptcy proceedings or refusal to release the debtor-citizen from further fulfillment of creditors' claims by the court, a writ of execution is issued for creditors' claims that were not satisfied during the procedure, and a new deadline for its execution begins to flow from the date of entry into force of the ruling on termination of bankruptcy proceedings or the ruling on the completion of bankruptcy proceedings..

• The possibility of re-initiating bankruptcy proceedings at the request of the creditor is provided for by law. 

• Thus, the courts had no grounds to terminate the proceedings. 

 

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