A lawyer told which debts cannot be gotten rid of after declaring bankruptcy

After being declared bankrupt, an individual may not get rid of all monetary obligations. Oleg Dubinin, managing partner of the consulting company "Dubinin & Partners", member of the Russian Bar Association, told "Izvestia" on November 24.

The lawyer said that after the court recognized an individual bankrupt, no debts are written off from him, but only stop further charges on existing debts. He added that this can be used by dishonest lawyers, who offer illiterate citizens to solve the problem with debts in a few months through the recognition of bankruptcy.

Dubinin noted that after a person is declared bankrupt, the procedure of debt restructuring (redistribution of debt obligations for a longer period of time. - Ed.) begins, noting that the bankruptcy trustee is obliged to consider the possibility of distribution if the person has a stable income.

However, if restructuring is inapplicable, as the lawyer noted, the procedure of property realization is introduced. At this stage there are measures to collect information about the property, accounts and other assets of the individual. At the same time, Dubinin pointed out that the property is realized not at market value, but at an undervalue, and there is no need to hope that it will be worth more than the debts.

According to him, debts on alimony cannot be written off within the bankruptcy procedure, as they are included in a separate category of obligations and these debts cannot be written off under any circumstances. He noted that obligations from causing harm to life and health will not be written off. Also, according to him, if a physical person during the procedure arises new debts, then they too will not be written off.

"Debts formed as a result of bringing a citizen to subsidiary liability in the bankruptcy of a legal entity, which the debtor managed as a manager or otherwise influenced the adoption of key decisions are not subject to write-off," the lawyer added.

Disassembling the flights: Estonian airline Nordica has gone bankrupt

The country has lost its national airline

Earlier, on October 4, bankruptcy trustee, lawyer and founder of the company "Yuverkon" Julia Verkhovtseva said that if the loan is issued by fraudsters without the knowledge of the victim-borrower, the probability of termination of the agreement is much higher. If a person personally signed the loan agreement and transferred the borrowed funds to fraudsters, it is almost impossible to challenge the agreement in this case. The loan debt will have to be paid. But bankruptcy may be a way out of this situation - the procedure can help to get out of a crisis situation, says the insolvency administrator.