Bankruptcy administrators to get more power to search for debtors' assets
MOSCOW, December 6 - RAPSI. The Ministry of Economic Development proposed to extend the authorities of bankruptcy administrators on searching assets of debtors, that could be intentionally withdrawn from a company on the verge of bankruptcy, according to the draft amendment package, "On Insolvency (Bankruptcy)," and separate legislative acts published on Monday on the agencys website.
Pursuant to today's legislation, both individuals and legal entities, state authorities and local self-regulatory bodies provide bankruptcy administrators with the data they request within seven days from being notified without collecting payment.
Bankruptcy administrators face significant obstacles connected with acquiring information about debtors and the property they own.
Implementation of the obligation to provide bankruptcy administrators with the information will allow them to better search debtors' property, establish premeditated bankruptcy, and involve third parties in withdrawing debtors' assets.
The proposed amendments will allow law enforcement authorities to bring debtors, founders and contractors to liability according to the law.