State guarantees of St. Petersburg are provided for legal entities regardless of the type of ownership to secure the fulfilment of their obligations to third parties in the case of investment projects meeting the objectives of social and economic development of St. Petersburg. An investment project shall be implemented with the attraction of borrowed funds and meet the Terms of Granting of State Guarantees of St. Petersburg in the case of investment projects. In order to receive guarantees one should submit to the Committee for Economic Development, Industrial Policy and Commerce an application for state guarantees with documents specified in the Procedure of Granting of State Guarantees. The office for the Committee on Economic Development, Industrial Policy and Trade accepts documents from an applicant for state guarantees in a sealed envelope (except for an application) in the first working week of each month. The package of documents includes the documents confirming the legal ability of the Applicant, financial documents, documents on the investment project and other documents. The Commission for Budget Support selects investment projects. The planned time of outlay recovery of the total amount of investments on the investment project should make no more than 5 years since the beginning of the investment activity. The interest rate of the loan taken by a legal entity against state guarantee shall correspond to interest rates of the loans taken by St. Petersburg on internal and external markets for the same period. Obligations of a guarantor regarding state guarantee granted to a creditor (resident) to secure the fulfilment of credit obligations of a legal entity implementing investment project shall not exceed the principal amount of a loan. Obligations of a guarantor regarding state guarantee granted to a creditor (non-resident) to secure the fulfilment of credit obligations of a legal entity implementing investment project may include all obligations arising from the terms of the credit contract. A guarantor with regard to state guarantee bears subsidiary responsibility in addition to the responsibility of debtor for guaranteed obligation. State guarantees are supposed to be granted only after careful examination of a project and possibly the audit of a creditor. Guarantees cannot be granted to legal entities which are currently in the process of reorganization, liquidation or which have the signs of bankruptcy established by the federal laws.
Terms of the Granting of Guarantees Compulsory conditions for the granting of state guarantees
Compulsory conditions Organizations included into the contract having priority for the granting 40
Published on Jul 6, 2010
Published on Jul 6, 2010
1. STATE AND MUNICIPAL AUTHORITIES IN ST. PETERSBURG In St. Petersburg the system of state authorities was formed which has statutory object...