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Amendments To The Law "on Corporate Insolvency And Companies"

Original Language Title: Grozījumi likumā "Par uzņēmumu un uzņēmējsabiedrību maksātnespēju"

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Clarifies 10.07.2002., Latvian Journal No. 104 (2679) Saeima has adopted and the President promulgated the following laws: the amendments to the law "on insolvency of undertakings and companies" make law "on insolvency of undertakings and companies" (Latvian Saeima and the Cabinet of Ministers rapporteur, 1996, no. 20; 1997, no. 10; 1998, 2, 7, no. 23; 2000, no. 13; 2001, no 2, 12) the following amendments: 1. Supplement article 1 to 19 and 20 to the following : "19) — the State Agency" insolvency administration ", which in accordance with the procedure laid down in this Act shall monitor the operation of the insolvency administrator and other statutory functions;
20) certificate — the meaning of this law: the Agency issued a document that certifies an individual's professional competence to carry out pay-disability process administrators. "
2. Supplement article 4, first paragraph, after the word "administrator" with the word "agency".
3. Replace article 5, second paragraph, the words "the Latvian civil procedure code" with the words "civil law".
4. Express article 8, fourth subparagraph by the following: "(4) creditors ' meeting shall take decisions by voting of creditors present a simple majority of votes of the claim amount where this Act provides otherwise. Each vendor is determined by the number of votes in proportion to their claims for the period to the amount of insolvency for recognition in accordance with the creditor's claim or the debtor applied for the documents reflect the amount of the debt if the creditor's claim is not logged on. "
5. Article 13 be expressed as follows: "article 13. Administrator qualifications Of administrators can be only a natural person who has higher legal education or higher education, management of the economy or finance, or not less than three years of practical work experience in the monitoring of undertakings or businesses(3) bodies and Executive who successfully fulfilled the administrator specialisation required to obtain the certification requirements and in accordance with the provisions of the Act, the Agency issued the certificate. "
6. in article 14: to supplement the first part of paragraph 5 with the following: "5) which in the last five years has been in the executive bodies of the company or companies, which has been declared bankrupt or with court ruling found guilty of insolvency of the undertaking or business.";
to turn off the second and third.
7. in article 15: turn off the fourth subparagraph, the first sentence;
to make the fourth part of the second sentence by the following: "Security is determined not less than ten per cent of the market value of the assets of the debtor.";
turn off the ninth.
8. Article 16 be expressed by the following: ' article 16. (1) the appointment of an administrator appointed by the Court Administrator for the Agency's proposal immediately after the bankruptcy proceedings.
(2) the Agency shall evaluate and select administrator candidate (candidates) of the certified administrator mid administrator duty, in all cases, their views on the collegiate decision expressing the Basic.
(3) If, in the cases provided for in the law of the Court administrator candidate is not approved, the Agency recommends to the Court immediately to another administrator candidate. "
9. Article 19: adding to the fifth subparagraph following the words "meeting of creditors" with the word "agency";
Supplement to the eighth article as follows: "(8) the Administrator shall submit its activity report to the Agency every month according to its requirements and procedures."
10. Add to article 23, under the third subparagraph by the following: "(3) the Administrator supervising this law and other legislation that the order of the Agency."
11. Add to article 24 with the sixth part as follows: "(6) in the case of the debtor's assets is not possible for administrators to fully or partially receive remuneration provided for in this Act, the Agency shall ensure the payment of remuneration by an administrator in this statutory fixed rates from the Agency for this purpose funding."
12. To make the first paragraph of article 27, point 4 of the following: "4) administrator's death."
13. in article 28: Add to the introductory part of the first subparagraph following the words "expression of no confidence in the administrator" with the words "or the application by the Agency";
make the first part of paragraph 2 as follows: "2) administrator do not comply with the requirements of the law;"
to supplement the first part of paragraph 4 by the following: "4) after agency decision on the withdrawal of the certificate or the suspension of its activities.";
make the third paragraph as follows: "(3) If a creditor's meeting expressed no confidence in the administrator, it asks the Court to cancel the administrator and appoint other and inform the Agency. In case of cancellation the administrator receives compensation in accordance with article 24 of this law. "
14. To supplement the article 29 the first part of the third sentence by the following: "The resignation of the administrator shall immediately notify the Agency."
15. Supplement article 30 the second subparagraph after the word "default" by the words "15 days from the date of adoption of the decision of the Court".
16. Article 32 of the expression by the following: ' article 32. Administrator's seal (1) the Administrator is made a new stamp of the seal of the substitution of the debtor and the debtor declaring existing stamps to be invalid.
(2) the new stamp is significantly different from the existing debtor, and the debtor stamp name is to be supplemented with the word "insolvency". "
17. To supplement the law with the chapter IV1 by the following: "chapter IV1. Article 32.1 of the Agency. Legal status of the Agency (1) the Agency is in accordance with public law agency created the State Agency "insolvency administration".
(2) the Agency shall establish a national Cabinet Minister in person.
(3) the Agency is supervised by the Ministry of Justice.
Article 32.2. The Agency's functions, activities and rights (1) the functions of the Agency are: 1) prepare administrators;
2) certified administrators;
3) recommend to the administrator of the Court of Justice;
4 to monitor the activities of administrators) in the insolvency process;
5) satisfy the claims of employees from employee claims guarantee fund according to the law "on the protection of employees employers ' insolvency event ';
6) other functions entrusted to it in accordance with the regulations, rules and administration of the agency contract.
(2) in order to carry out its functions, the Agency shall: 1) develop administrator qualification requirements, administrator training programmes and submit them for approval to the Cabinet;
2) organized training of persons who wish to obtain an administrator qualification;
3) organizes the test sort of administrator to receive the qualifications specified by the cabinet order;
4) issue and revoke the administrator certificate as well as suspend or extend its action agenda set by the Cabinet of Ministers;
5) recommends to the Court a certified administrator-designate each individual insolvency proceedings;
6) monitors the operation of the insolvency administrator or the process meets the requirements of the law;
7) complaints about the decisions and actions of administrators;
8) adopted and looking for administrators of insolvent employer applications on employee satisfaction and confirms the claim of the employee claims guarantee fund the amounts payable;
9) other legislation acts necessary for the performance of its functions.
(3) the Agency shall have the right to: 1), to request and receive any necessary for the performance of its functions by the insolvency proceedings related information from State and municipal institutions;
2) request from the administrator reports on the exercise of responsibilities and the insolvency process;
3) cancellation of the certificate or the suspension of the case, file a legal application for cancellation, as well as the administrators take this law and other laws provided for other activities necessary for the performance of its functions.
32.3 article. The Agency's financial means (1) the financial resources of the Agency shall consist of: 1) business risk State duty;
2) State funds;
3) revenue from paid services rendered;
4) foreign financial assistance.
(2) the Agency's financial means are used: 1) insolvency administration costs in the cases provided for in this Act;
2) this law, other laws, regulations, and agency management the Agency's enforcement functions. "
18. Replace the second paragraph of article 34, 111., article 112, article 115, second paragraph, article 116, second paragraph, article 117, in the second paragraph of article 118 and 119 in the first and in the second paragraph, the words "of the Criminal Code of Latvia" with the words "criminal law".
19. Article 55: adding to the article with a new second subparagraph by the following: "(2) the Agency shall become a vendor at the time when the debtor is satisfied the employee claims, and it is not subject to the first subparagraph.";
consider the second part of the third part and express it as follows:

"(3) the Administrator collects log accounts and debtors will be reflected in your claims of creditors and draw up a list of claims of secured creditors, the list of claims of unsecured creditors and third parties, for which the list of the debtor's claims, stating the amount of each claim. List of claims of unsecured creditors, the administrator specifies the amount of the relevant claim of the unsecured creditors of each of the number of votes in the first meeting of creditors. "
consider the current third and fourth respectively on the fourth and fifth.
20. Article 60 of the expression as follows: "article 60. Complaint handling jurisdiction (1) the complaints about the decisions or actions of the administrators review the agency that sorts out the complaining and administrator's point of view, their compliance with the law and trying to resolve conflict or make conciliation. Complaint about Admin decisions or action in the Court in which the insolvency proceedings, proposed adding the complaint materials regarding the examination of the complaint at the Agency.
(2) complaints against other persons involved in the proceedings or the decision of the court action, which proposed the relevant insolvency proceedings. "
21. Article 61 of the expression as follows: "article 61. Complaints and disputes in the insolvency proceedings (1) after debtor is declared insolvent, the administrator of complaints against decisions and actions of the Agency under consideration, subject to the following general handling policy: 1) creditors ' meeting may submit to the Agency a complaint against the decisions or actions of the administrator, if the complaint filed before the administrator and he two weeks has not given an answer to the complaint or is rejected it;
2) the creditors ' Committee, each creditor or debtor's representative may submit to the Agency a complaint against the decisions or actions of the administrator, if the complaint filed before the administrator and he two weeks has not given an answer to the complaint or is it rejected the creditors ' meeting and refused to turn to the Agency with a complaint about an administrator decision or action;
3) agency decision on the complaint against the decisions or actions of the administrator's recommendations, and, if it does not satisfy the process, the parties may apply to the courts;
4) If you have a complaint about the decision or action of an administrator and have found that the administrator committed infringements, the Agency may decide about the warning or reprimand the expression of an administrator, but in the event of repeated irregularities, revoke a certificate of the administrator or to submit an application for a court administrator.
(2) the Administrator's complaint about the decisions of the Committee of creditors in court if the complaint pending before the meeting of creditors.
(3) the Administrator's complaint about the decisions of the meeting of creditors in court.
(4) creditors may appeal to the meeting of creditors, or the creditors ' Committee's decision in the cases specified in this Act.
(5) If, due to an administrator action, meeting of creditors, the creditors ' Committee or decision of the Agency in the event of a dispute concerning the rights that are to be settled in accordance with the General rules, the claim shall be submitted in court according to jurisdiction. "
22. Article 68: replace the third paragraph, the words "property of the debtor" with the words "the debtor's movable property";
to supplement the article with the fourth paragraph as follows: "(4) By real estate sales administrator submitted to the Court an application for insolvency marks the deletion in the land."
23. Article 94 Expressed as follows: "article 94. The period of the restoration (1) recovery plan measures determined by the meeting of creditors.
(2) the first paragraph of this article, on expiry of the creditors ' meeting may extend the time limit.
(3) the total recovery period may not be longer than ten years. "
24. Replace article 102, third paragraph, the word "property" with the words "movable property".
25. Article 105: Add to the third part with a new second sentence as follows: "the auction can happen when has arrived at least one buyer who promises more than the auction starting price.";
to make the fourth subparagraph by the following: "(4) after the vairāksolītāj of real property (real estate) has paid the promised price, the administrator shall submit an application to the Court on the property (real estate) Act approval of the auction and to the real property (real estate) applied to insolvency marks the deletion in the land.";
Replace in the fifth subparagraph, the word "property" with the words "real estate".
26. To complement the article 107 of the third subparagraph of paragraph 1, the words "or claims of the Agency if it is satisfied the above claims".
27. Article 108: replace the words "in the fourth paragraph of article 21 of this law in the second subparagraph of paragraph 3" with the words "the law";
to supplement the article with a fifth by the following: "(5) if the debtor's assets is not possible to cover the administration costs of the insolvency proceedings, they bear from a vendor or agency funds."
28. Article 109: turn off the first part of paragraph 9;
to supplement the first part with point 10 and 11 by the following: ' 10) charges for services provided by the Agency;
11) current tax and fee payments for the period of time from the date on which the debtor declared insolvent. ";
to turn off the second part.
29. Article 110 of the expression by the following: ' article 110. Administration and staff costs for the settlement of the claim or the case of the rehabilitation (1) in the case of judicial settlement or insolvency administration costs be included in the composition or recovery plan in the first place and pay in full before claims of creditors have been met.
(2) in the case of judicial settlement or insolvency claims of employees amounts that cover the cost of employee claims guarantee fund, to the composition or rehabilitation plan in the first place and pay in full by administration costs. "
30. Supplement article 119 first paragraph, after the word "Court" with a comma and the word "agencies".
31. the transitional provisions be supplemented with 17, 18 and 19 of the following paragraph: "17. a Person appointed as insolvency administrator before 1 January 2003 shall retain their status until the termination of the insolvency proceedings or the abolition of the law.
18. While the Cabinet is specified by the administrator of the certification procedure, the Court administrator shall be appointed and authorised in accordance with this law, article 13 and 14 as set out in the qualification.
19. Sworn lawyers and chartered accountants, who until July 1, 2002, made an administrator until July 1, 2003 are eligible for free proficiency testing to get the insolvency practitioner's certificate for a period of three years. "
Transitional provision 13. Amendments to the law and in article 16, sixth paragraph of article 24, article 28, first and third subparagraphs, of the first paragraph of article 32 paragraph 3, second subparagraph, 5, 7 and 8 and paragraph 3 of part three, article 32.3 of the second subparagraph of paragraph 1, the second paragraph of article 55, 60 and 61, in article 107 of the third paragraph of article 1, the fifth subparagraph of article 108, 109 in the first paragraph of article 9 and article 110, paragraph shall enter into force on 1 January 2003. "
The law shall enter into force on 1 July 2002.
The Parliament adopted the law of 13 June 2002.
State v. President Vaira Vīķe-Freiberga in Riga on 21 June 2002, an editorial added: the law shall enter into force on 1 July 2002.