SETTLEMENT OF PROBLEM DEBT

• Implementation property of the Fund
• Settlement of problem debt

Conditions and procedure for settling problem debts

In case of signs of deterioration of the financial condition of the borrower, the latter have the right to contact the primary creditor (partners of the Fund - STB, MFI, LC) for the purpose of restructuring the financial obligation. The Fund, for its part, in order to restore payment discipline and preserve the financed business, taking into account the position of the partners, has the right to provide consent to such restructuring.

In the event of failure to reach an agreement on loan restructuring with the primary creditors, the Fund also has the right to restructure the borrower’s obligations directly to the Fund.

When primary creditors and the Fund carry out measures for the forced collection of debt, taking into account the norms of civil procedural legislation and subject to the achievement of mutually acceptable terms for the repayment of the financial obligation between the parties, the Fund has the right to settle the dispute by concluding a settlement agreement or an agreement on the settlement of the dispute (conflict) by mediation within the framework of the judicial process, and in the event of the existence of a judicial act or its entry into legal force, it is permissible to conclude an agreement on the voluntary repayment of the debt or the execution of the judicial act.

When considering the issue of dispute settlement, the financial condition of the borrower, prospects for debt repayment, the possibility of restoring and preserving the business, and other factors are taken into account. The terms of debt repayment are established in each case individually, taking into account the specifics of the borrower's business, the period required to restore payment discipline, the terms of restructuring or repayment of debt to other primary creditors, and other circumstances.  

Measures taken by the lender in the event of failure of the borrower to comply with the requirements

In accordance with the legislation of the Republic of Kazakhstan and the terms of the agreements, in the event of non-fulfillment or improper fulfillment of obligations by the borrower, the Fund has the right to:

1) collect the debt by force (through the court or an enforcement order);

2) apply enforcement measures (arrests, restrictions, prohibitions, deductions from wages, etc.);

3) recover the security provided or other identified property.