Astana, Kazakhstan, Feb.20
By Daniyar Mukhtarov - Trend:
Kazakhstan's Senate (upper house) returned a draft law for revision to the Majilis (lower chamber of parliament) on the reorganisation of second tier banks.
"Proposed changes to the legislation are necessary to exit the state among shareholders of second tier bank that are undergoing restructuring such as BTA, Alliance Bank and Temir Bank, Kazakh Minister of Economy and Budget Planning Erbolat Dosaev, said at a plenary session of the Senate.
Changes and amendments to the draft law were needed during the discussion.
The senators suggested amendments envisaging expansion of established exemptions by the draft law, in the case of acquisition of banks control over other banks.
Furthermore, it is in accordance with Kazakhstan Development Bank's memorandum and the limitations established by the pending law to stipulate the possibility of authorised capital funds of banks for crediting projects.
The draft law envisages the removal of restrictions on the acquisition of shares in other banks during reorganisation in the form of accession and optimise the need to obtain the status of a bank holding, or a major participant of the bank in the law 'On Banks and Banking Activity'.
It is also proposed to implement a requirement for addressable information of creditors, depositors, customers, correspondents and borrowers on any merger of banks undergoing restructuring through the mass media in the laws of 'On Joint Stock Companies' and 'On Banks and banking activities'.
Also proposed was the need to amend the law 'On Joint Stock Companies allowing evaluation of banks through market assessment methods which are undergoing restructuring.
Due to the practical impossibility of obtaining the consent of each mortgagee to replace or cancel, it is proposed to replace the pledge without the consent of the mortgagee. However with automatic encumbrance in favour of the mortgagee of the bank's shares which is to merge, or to resolve the issue with shares under seizure with a similar method.
The draft law also amends the following laws: 'On Joint Stock Companies', 'On banks and banking activity', 'On the Securities Market' and On Enforcement Proceedings and the status of bailiffs'.
Translated by S.I.
Edited by S.M.
