MOSCOW, December 5 (RAPSI) – Russian President Vladimir Putin expressed support for a bill on bankruptcy for individuals at a conference held by the All-Russia People's Front Thursday.
According to Putin, the bill could help to inspire responsibility among individuals and financial organizations.
A call for early adoption of the draft law was voiced during the conference.
The State Duma, Russia's Lower House of parliament, adopted the bill on the bankruptcy of individuals in the first reading on November 15, 2012.
The bill stipulates that a citizen facing financial difficulties can submit a bankruptcy statement to the court. The court may then grant the individual the right to pay his debt in installments for a term of up to five years.
An individual with debts exceeding 50,000 rubles ($1,503) and whose arrears amount to three months can be declared bankrupt. In this case, the individual cannot apply for a bank loan without citing his bankruptcy for the five years after his bankruptcy status was declared.
The bill also stipulates a ban on declaring oneself bankrupt more than once in five years.