Article 218. Recognition of Natural Person as Bankrupt and Beginning of Sale of Their Property

The court shall adopt a decision on declaring a natural person bankrupt and applying the procedure for selling their property if:

natural person, without good reason, has not fulfilled the obligation imposed by the court in accordance with paragraph two of Article 200 of this Law;

debt restructuring plan for a natural person has not been submitted within the period specified in Article 207 of this Law;

court refused to approve the plan for restructuring the debt of a natural person.

Declaring a natural person bankrupt and the procedure for selling their property shall be introduced for a period of not more than six months. If necessary, at the petition of the persons participating in the insolvency case, or at the initiative of the court, this period may be extended for a period not exceeding three months.

If the meeting of creditors does not nominate a financial manager of a natural person for the procedure for selling their property, the court shall appoint a financial manager who conducted the procedure for restructuring the debt of a natural person.

In the event of the commencement of the procedure for the sale of the property of a natural person, the court shall have the right to issue a ruling on the temporary restriction of the right of a natural person to leave the territory of the Republic of Uzbekistan.

The right of a natural person to leave the territory of the Republic of Uzbekistan shall be restricted until the day a ruling is issued on the completion or termination of the procedure for declaring a natural person bankrupt and selling their property, as well as on the approval of a settlement agreement.

If there is a good reason, which requires the departure of a natural person from the territory of the Republic of Uzbekistan, at the petition of a natural person and taking into account the opinions of creditors and the financial manager, the court may early cancel the ruling on temporary restriction of the right of a natural person to exit from the territory of the Republic of Uzbekistan.

Certified copies of rulings on establishing and canceling temporary restrictions on the right of an individual to leave the territory of the Republic of Uzbekistan shall be sent to the individual and to the Border Troops of the State Security Service of the Republic of Uzbekistan.

In the course of declaring a natural person bankrupt and initiating the procedure for selling their property, the claims of creditors and the relevant authorized body shall be subject to consideration in the manner prescribed by this Law. The creditor shall have the right to apply to the court in cases where, for valid reasons, they did not file their claims for inclusion in the register of creditors' claims within the prescribed period, does not agree that the financial manager did not include them in the register of creditors' claims, or unsatisfied with the queue for satisfying the claim of the register.