News

12.10.2017

Punishment must be commensurate with the gravity of the offense

321

Akmola region

Experts of the legal block of RCE once again helped the entrepreneur to keep the business

LLP Golden Energi Corp has applied to the Chamber for the protection of their rights. The regional department of land relations threatened the company to terminate the lease of the land plot, referring to the unrepresented project of reclamation of disturbed lands before the start of works.

The regional akimat allocated the land to the company in 2015 for a period of 15 years. The company is engaged in the construction and maintenance of facilities for the use of renewable energy sources, and its activities are directly related to the development of innovative projects. The total area of the land plot on which the production is located is almost 400 hectares, including 259 hectares, mostly unused.

Indeed, in accordance with the terms of the contract, the enterprise undertook to develop the required project within a specified time. However, due to the change in ownership at LLP Golden Energi Corp, it was not possible to provide it in time. But the company did not refuse from its obligations and began to work on the project.

It should be noted that, according to the Law on Support for the Use of Renewable Energy Sources, state regulation provides for the creation of favorable conditions for the construction and operation of facilities in this sector.

In addition, article 16 of the Business Code states that in order to stimulate the development of entrepreneurship, the state is now carrying out a set of measures aimed at creating favorable legal, economic, social conditions and guarantees for the implementation of the entrepreneurial initiative.

"Actions to terminate the lease are premature. And for an entrepreneur this is a huge risk. Not only the lack of ability to pay off existing debts, but also the further development of business. Meanwhile, according to Art. 13 PCs, prevention of offenses and motivation of the business entity to comply with the requirements of the law has priority over applying state enforcement in the process of entrepreneurial activity. Moreover, these measures should correspond to the nature and severity of the violation", - Elmira Zharmuhamedova, expert of the Department for the Protection of Entrepreneurs Rights and Reduction of Administrative Barriers says.

The court took into account these arguments. The suit of the state body was partially satisfied. The company retained the main area of the land. The contract was terminated only on unused land.

Full details on: www.atameken.kz

«...Domestic business, the so-called national bourgeoisie, should be supported in every possible way, and those who prevent its development by unreasonable inspections, extortions, raids should be strictly punished...»

Statement from the President of Kazakhstan Kassym-Jomart Tokayev at an enlarged meeting of the Government on 15 July 2019

Zhursunov R.M.

Ombudsman for the Protection of the rights of Entrepreneurs of RK

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