Gomel oblast territorial fund on state property

Order №384-k of July 1, 2002 of the economy ministry of the Republic of Belarus “On territorial bodies of the economy ministry of the Republic of Belarus” has set up the Gomel oblast territorial fund on state property in order to implement the state policy in issues on the state property management, disposal and privatization.

The fund’s major functions:

1. Adoption of proposals on privatization and creation of open joint-stock companies;
2. Consideration of documents on amortization or mortgage of buildings, erections and uncompleted objects;
3. Organization of contests and auctions on selling republican and oblast municipal objects;
4. Signing and registration of contracts with privatization subjects on acquiring privatized objects, issue of certificates on the propriety right to these objects, monitoring the contracts’ fulfillment;
5. Introduction of the list of municipal property of Brest oblast;
6. Monitoring juridical entities in observing the legislation that regulates the issues on state property management and disposal, efficient utilization of state immovable property; undertaking necessary measures in order to eliminate shortcomings, reimburse the losses and call guilty persons to account;
7. Joint consideration of issues on appropriate reorganization of present state unitary companies;
8. Legal control over the activity of the administrative staff in bankruptcy affairs;
9. Appeal to judicial bodies on recognizing invalid the transactions that violated the legislation on state property disposal and privatization;
10. Analysis of state property management, disposal, privatization, insolvency /bankruptcy/.

The state property privatization is the most important condition for reconstructing the oblast economy and attracting investments to its industrial complex.

The reformation uses different approaches: reorganization of state and rent companies into the open joint-stock companies, sales of state property objects at auctions and contests, redemption of leasehold property.

Auctions and contests on state property sales enjoy great popularity in the oblast. The oblast holds different forms of auctions: classical /the starting price increases/ and “Holland” one with the decreasing starting price.

The oblast privatization bodies express readiness to cooperate with all investors that are keen to acquire state property in the sphere of consumer services, foodstuffs and processing branches and to consider all proposals on efficient utilization of the property of the former military camps and uncompleted objects.

Foreign investors have a right to acquire state property, which is on sale at an auction or contest, participate in the charter fund of the privatized company. The law on property allows foreign juridical entities to possess companies, buildings or other property for economic activity in Belarus.