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22 November, Wednesday

Ufa   °

State fund for housing co-investors rights protection is established in Russia

Politics

UFA, 13 October 2017. /Bashinform News Agency, Galiya Nabieva/.

The Prime Minister of the Russian Government Dmitry Medvedev signed a decree on creation of a fund to protect the rights of housing co-investors. The public-law company "Fund for Protection of Rights of Citizens Participating in Shared Construction" will form a compensation fund at the expense of compulsory contributions of developers. This is reported by "RIA Novosti" referring to the speech of Dmitry Medvedev at a government meeting.

"This fund will help to complete a construction or reimburse co-investors for the invested funds, if the developer went bankrupt",  the Prime Minister said.

The rules have been approved, according to which the fund for protection of housing co-investors will finance the completion of construction of unfinished houses.

"In particular, if the required amount is not more than 500 million rubles, the decision will be taken by the board of the fund. If it exceeds 500 million rubles, the decision will already be taken by the supervisory board of the fund. At the same time, the board will control the targeted use of the allocated means", Dmitry Medvedev explained.

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