The Plenum of the Constitutional Court of the Republic of Azerbaijan, chaired by Farhad Abdullayev, held its regular session.
At the court session was examined the constitutional case based on the inquiry submitted by the Cabinet of Ministers of the Republic of Azerbaijan on Articles 71, 81 and 82 of the Law of the Republic of Azerbaijan “On Banks”.
Having heard the report of Judge K.Shafiyev, studied and discussed reports of representatives of interested parties – Cabinet of Ministers of the Republic of Azerbaijan and the Office of the Milli Majlis of the Republic of Azerbaijan, specialists of the Central Bank, Deposit Insurance Fund, Civil Chamber of the Supreme Court, Commercial Board of Court of Appeal of Baku city, Bar Association of the Republic of Azerbaijan, Azerbaijan Banks Association the Plenum of Constitutional Court of the Republic of Azerbaijan adopted decision.
The decision states that from the point of view of Article 29 of the Constitution of the Republic of Azerbaijan if the loan debt to the liquidated Deposit Insurance Fund is paid by individuals or legal entities in the process of liquidation, the expectations of the Central Bank of the Republic of Azerbaijan on termination of the mortgage right and removal of restrictions on property rights must be considered reasonable.
To ensure the implementation of these expectations, the Deposit Insurance Fund and the Central Bank of the Republic of Azerbaijan should take the necessary measures in a short time.
If the bank liquidator repays the credit debt of individuals or legal entities to the Deposit Insurance Fund, these funds should be used to fulfill the Fund's obligations in accordance with Article 71 of the Law of the Republic of Azerbaijan "On Banks," and the termination of mortgage rights should not violate the functionality of the Central Bank of the Republic of Azerbaijan.
The decision comes
into force from the date of its publication, is final, and may not be
cancelled, changed or officially interpreted by any institution or official.