The National Bank of Ukraine was given the opportunity by court decision to complete the forced sale of the property of PJSC “Kyiv Shipbuilding and Ship Repair Plant” outside the bankruptcy procedure. This became possible thanks to the decision of the Northern Commercial Court of Appeal, which on March 15, 2023, left unchanged the decision of the Kyiv Commercial Court of October 3, 2022. With this decision, the court, at the request of the National Bank, granted permission for the sale of the property of PJSC “Kyiv Shipbuilding and Ship Repair Plant” outside the bankruptcy procedure within the scope of the executive proceedings.
According to Article 9 of the Code of Ukraine on Bankruptcy Procedures and conclusions of the Supreme Court, the resolution adopted by the Northern Commercial Court of Appeal is not subject to cassation appeal.
“The consent given by the court to satisfy the requirements of the secured creditor – the National Bank of Ukraine – with the funds of the debtor’s property outside the bankruptcy procedure makes it possible to get rid of dependence on the course of the bankruptcy procedure with all its limitations and possible abuses by unscrupulous participants. This will make it possible to start the sale of the plant’s property on competitive terms as soon as possible,” commented Serhiy Boyko, Head of the Department of Legal and Judicial Work with Troubled Assets of the Legal Department of the National Bank.
Currently, enforcement proceedings are underway. The property of PJSC “Kyiv Shipbuilding and Ship Repair Plant” will be put up for auction at a price that will be determined by the subject of the evaluation activity involved in accordance with the resolution of the state executor within the framework of executive proceedings.
As a reminder, PJSC “Kyiv Shipbuilding and Ship Repair Plant” is the property guarantor for the obligations of the “Finance and Credit” bank to the National Bank for a total amount of over UAH 4 billion.
In 2009-2010, the plant entered into mortgage and pledge agreements with the National Bank to ensure the fulfillment of obligations under refinancing loans granted to the bank.
Since the loan obligations were not fulfilled, The National Bank applied to the court for the purpose of foreclosing on the property in court. These are non-residential buildings with a total area of 43,440.9 m2 and movable property, which are the property of PJSC “Kyiv Shipyard and Ship Repair Plant” and are located at the address: Kyiv, str. Naberezhno-Luhova, 8.
The total amount of outstanding debt of the “Finance and Credit” bank to the National Bank for refinancing loans amounts to UAH 6.2 billion.
For reference
As a reminder, the National Bank of Ukraine on September 17, 2015 made a decision on classifying the bank “Finance and Credit” as insolvent.
At the time of this decision, the shareholder of the bank was Konstantin Zhevago, who indirectly owned a share of 97.67% of the shares.
