Association of Ukrainian Credit-bank Union (UCBU) addressed to the Verkhovna Rada a proposal to reject the draft law "On amending some laws of Ukraine (regarding foreclosure on mortgaged property under the executive notary)» № 5039, according to a press release UCBU.
The main purpose of the bill is the denial of the possibility of a notary executive inscriptions on the documents concerning foreclosure on real estate, facility construction, property rights to it, which are the subject of the mortgage. The initiator of the bill - the deputy of the faction "Our Ukraine - People`s Self-Defense" Roman Zvarych.
According UCBU, the bill violated the constitutionally guaranteed right to private property in Ukraine, restricting the rights and claims of creditors for the return of funds available to borrowers, as well as the principles of fairness and equality before the law, providing benefits to certain categories of citizens, putting the banks and their depositors in an unequal position in bad faith borrowers.
"The bill negates the possibility of considering real estate as collateral, which banks will be forced to significantly increase the amount of redundancy, which will lead to even greater reduction in capital. According to NBU, on April 1, 2010 adversely classified credit operations are 113,4 million UAH (13,2% of the total loan portfolio), and the amount of mortgage debt 101 billion UAH. Therefore, the legislative initiative, which will lead to an increase in bad debts in banks, is unacceptable ", - said director general UCBU Galina Olifirov, words which appear in the press release.