Tashkent, Uzbekistan (UzDaily.com) -- At the nineteenth plenary meeting of the Senate of the Oliy Majlis of the Republic of Uzbekistan, the Law "On insolvency" was considered, which regulates relations in the field of insolvency of legal entities, citizens, as well as individual entrepreneurs.

As noted, the Law establishes procedures that envisages the suspension of the accrual of current tax payments arising in the process of insolvency rehabilitation and their payment after the completion of the procedure, attraction of funds from commercial banks, financial organizations and other sources in order to restore the debtor’s solvency and in advance coverage of part of the debt in the plans recovery.

In addition, the Law expands the rights of the court administrator. Thus, such norms are introduced as the use of services provided through the Agency of Public Services without advance payment, free receipt of information from state bodies on the activities of the debtor, payment to the court administrator in the liquidation of enterprises that do not have property.

Lawyers licensed to specialize in civil and economic litigation are also entitled to conduct insolvency proceedings.

In order to ensure the protection of the rights of owners purchasing housing built on shared construction, a separate procedure has been developed for recognizing developers as insolvent.

Provisions are made for the rules concerning the incentives for the judicial administrator who has achieved the application of the procedure of judicial rehabilitation or external administration to the legal entity - the debtor and vesting it with additional rights and powers.

The Law introduces a norm on bringing to subsidiary liability, by a court decision, for the debtor’s outstanding obligations of persons who made it impossible for the debtor to fully fulfill obligations to creditors as a result of unlawful actions of the persons managing the debtor’s affairs.

The Law pays special attention to the interests of individuals. In particular, it introduces a procedure for repayment of debt in installments based on a repayment schedule based on the monthly income of the debtor (individual).

In general, the adoption of this Law will improve the position of our country in international ratings on the insolvency indicator and promptly restore the activities of enterprises that have found themselves in a state of insolvency.

The law was approved by the senators.