The Ministry of Finance of Russia has published a Federal Draft Law “On Registering Notification of a Pledge or Other Encumbrances on Movable Assets” (the “Notification Draft Law”).
The Notification Draft Law proposes:
- creating an e-registration system for pledged movable assets (transport vehicles, vehicles and equipment);
- establishing the procedure for registering pledge notifications; — granting access to the database to interested parties; and
- having credit reference bureaus register notifications.
The Notification Draft Law should provide protection to banks and other organisations that make loans and conduct investment activities in Russia, and will increase the attractiveness and security of pledges.
[Federal Draft Law “On Registering Notification of a Pledge or Other Encumbrances on Movable Assets”, dated 17 February 2011]