The Verkhovna Rada of Ukraine at first reading has rejected the draft law on automatic seizure of debtors' assets pursuant to the court judgment, the adoption of which is stipulated in the memorandum of cooperation between Ukraine and the International Monetary Fund (IMF).
Only 192 out of the 226 MPs voted for corresponding bill No. 3768 on amendments to legislation on the introduction of automatic seizure of funds in civil and commercial proceedings.
After inconclusive vote, the Ukrainian parliament by 231 votes sent the bill back for revision.
The bill provides for the creation of an automated system for arrest of funds on bank accounts to ensure a prompt execution of judicial decisions and governmental resolutions on the seizure of funds on bank accounts.
The draft law provides for the establishment and functioning in courts and state executive authorities of an automated system of arrest of funds, which will send electronic copies of court judgments and state executives’ orders on arrest of funds to banks.
