Article 17. Procedure for Adoption of Decisions by Meeting of Creditors

Decisions of the meeting of creditors on items put to the vote shall be adopted by a majority of votes of the number of creditors present at the meeting and having the right to vote.

Each creditor having the right to vote shall have the number of votes in proportion to its share in the total accounts payable on the date of the meeting of creditors.

The meeting of creditors shall adopt by a majority vote of all creditors with the right to vote:

decision to conclude a settlement agreement;

decision to apply to the court with a petition for the introduction of a judicial rehabilitation or external management procedure, the extension of their term or early termination;

decision to apply to the court with a petition for declaring the debtor bankrupt and initiating liquidation proceedings;

decision to apply to the court for the appointment, replacement or dismissal of a judicial manager.

If there is not the necessary quorum of creditors with the right to vote at the meeting of creditors, for the adoption of the decisions provided for in paragraph three of this article, a repeated meeting of creditors shall be convened, which is authorized to adopt such decisions by a majority of votes from the number of creditors with the right to vote and present at the meeting, provided that the creditors were duly notified of the date, time and place of the meeting of creditors.

A decision of a meeting of creditors adopted in violation of the requirements of this Law and other legislative acts and violating the rights and legitimate interests of creditors may be declared invalid by a court upon the application of a creditor who did not participate in the voting or voted against this decision.

Such a decision of the meeting of creditors may be declared invalid by the court if it violates the rights and legitimate interests of other persons participating in the insolvency case. The application may be filed within twenty days from the day when the creditor and (or) another person participating in the insolvency proceedings learned or should have learnt about the decision.

The decision to apply to the court with a petition for the introduction of a judicial rehabilitation or external management procedure, the extension of their term or early termination shall be considered adopted if the majority of creditors of the first and second groups voted for it. In the event that the majority of creditors of the first and second groups voted against, and also when the required number of votes was not obtained in each group, a decision to apply to the court with a petition to declare the debtor bankrupt and start liquidation proceedings shall be adopted.