Article 134. Approval of Report of External Manager by Court

The report of the external manager considered by the meeting of creditors and the protocol of the meeting of creditors shall be sent by the external manager to the court no later than two days after the date of the meeting of creditors.

The external managerʼs report must be accompanied by a register of creditors' claims and complaints of creditors who voted against the decision adopted by the meeting of creditors or who did not take part in the voting.

The report of the external manager and the complaints of creditors shall be considered by the court at a session. The date, time and place of the court session shall be notified to the external manager, as well as to the creditors who filed complaints. The failure of the notified persons to appear shall not prevent the consideration of the insolvency case.

The report of the external manager shall be subject to approval by the court if:

all creditors' claims in accordance with the register of creditors' claims have been repaid;

meeting of creditors decided to apply to the court with a petition to terminate external management in connection with the restoration of the debtor's solvency and the transition to settlements with creditors;

meeting of creditors decided to start settlements with creditors of a certain priority;

external manager filed a petition to start settlements with creditors of a certain priority;

settlement agreement has been concluded between the creditors and the debtor;

meeting of creditors decided to apply to the court with a petition to extend the term of the external management procedure.

The court shall refuse to approve the report of the external manager if the following is established:

failure to repay the claims of all creditors in accordance with the register of creditors' claims;

lack of signs of restoration of the debtor's solvency;

lack of grounds for starting settlements with creditors of a certain priority;

presence of obstacles to the approval of the settlement agreement.

Based on the results of consideration of the report of the external manager, the court shall issue a ruling:

on termination of proceedings on the case of insolvency — in case of repayment of the claims of all creditors in accordance with the register of creditors' claims or in case of approval by the court of a settlement agreement;