The Bankruptcy Code of Ukraine provides for the possibility of bringing the founders of the bankrupt and third parties who have the right to give mandatory instructions to the debtor to subsidiary (additional) liability (Article 61).
The dynamics of recourse to subsidiary liability shows an exponential increase — we can assume that in the coming years every third person related to business in one way or another may face this issue.
WHO NEEDS THIS?
- business owners and controllers (beneficiaries) — in order to take early measures to protect their personal assets (mostly such measures are proper and fair conduct of business activities);
- creditors — in order to ensure the actual recovery of debt in the event that the debtor tries to avoid payment of the debt through bankruptcy proceedings.
WHAT YOU NEED TO KNOW?
- criminal proceedings are not required for subsidiary prosecution;
- owners and controllers are liable in the amount of the difference between the amount of accounts payable and the amount of the liquidation estate;
- the liquidator of the bankrupt must apply to the court, after the sale of the objects of the liquidation estate and settlement with creditors;
• in the process it is necessary to prove the existence of damage caused by the owners, the existence of actions that led to such damage (for example, the decision of the general meeting) and the causal link between the actions and the damage. The owner of the bankrupt must prove the lack of intent.
Link to the article: https://blog.liga.net/user/astupak/article/37493
