Article 101. Procedure for conducting public auctions law on state property

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1.the notice of bidding must be published by the seller at least FIFTEEN calendar days before its holding. The notification must be published on the web portal of the state property register in Kazakh and Russian languages.

The notification must contain information about the time, place and type of trading, the object of sale and the procedure for conducting the auction, including the conditions for registration of participation in the auction, determination of the person who won the auction, as well as information about the starting price and the amount of the guarantee fee.

2.if the seller changes the terms of the auction, he / she must make a notification of all changes in the manner and within the time limits established by paragraph 1 of this article.

Persons who submitted an application for participation in it prior to the publication of the notice of change in the terms of the auction and refused to participate in it in this regard have the right to demand a refund of the guarantee fee and the costs incurred to them.

3.no later than three working days before the auction, the seller has the right to refuse the auction with compensation for the actual damage caused to the persons who submitted the application for participation in the auction.

Due to the impossibility of holding a trade, it may not be held. If the bidding is not possible due to force majeure for reasons not related to the seller, the seller is exempt from compensation for the actual damage caused to the persons who submitted the application for participation in the bidding.

4.bidders make a guarantee fee in the amount, terms and in accordance with the procedure specified in the notice of bidding. If the bidding is not conducted, the guarantee fee is subject to refund. The guarantee fee is also refunded to persons who submitted an application, but did not participate in the auction, participated in the auction, but did not win it, and persons who refused to participate in it in writing at least three working days before the auction.

Guarantee fees are refunded on the basis of the bidder's application for the refund of the guarantee fee, indicating the details of this participant.

When concluding a purchase and sale agreement with the person who won the auction, the amount of the guarantee fee made by him is credited to the account for fulfilling obligations under the concluded contract.

4-1. auction by two methods:

raising the price;

conducted by the method of price reduction.

When conducting an auction in which the method of raising prices is used, the initial price of the privatization object is equal to the initial price of the privatization object, determined in accordance with paragraph 1 of Article 100-1 of this law.

When conducting an auction, where the method of price reduction is used, the initial price of the privatization object is determined by multiplying the initial price by an increase coefficient equal to 3.

The object of privatization is put up for auction, where the method of raising the price for the first auction is used.

The object of privatization for the second auction is put up for auction, where the lowest price is set at seventy percent of the first price and the method of reducing the price is used.

For the third auction, the object of privatization is put up for auction, where the method of lowering the price is used, setting the lowest price in the amount of fifty percent of the initial price.

Each subsequent auction is held no later than thirty calendar days from the date of the previous auction.

For the fourth auction, the object of privatization is put up for auction, where the method of lowering the price is used, setting the lowest price in the amount of thirty percent of the initial price.

For the fifth and subsequent auctions, the object of privatization is put up for auction, where the method of price reduction is applied, setting the lowest price, which is not lower than the amount of the guarantee fee.

4-2.when the privatization object is submitted to the first tender, the initial price of the privatization object is equal to the initial price.

When the object of privatization is submitted to the second tender, the initial price is equal to seventy percent of the initial price.

Each subsequent tender is held no later than thirty calendar days from the date of the previous tender.

When the object of privatization is submitted to the third tender, the initial price is equal to fifty percent of the initial price.

When the privatization object is put up for the fourth tender, the initial price is equal to thirty percent of the initial price.

When the privatization object is submitted for the fifth and subsequent tenders, the initial price is equal to the amount of the guarantee fee.

4-3. auctions and tenders for the sale of privatization objects are considered invalid on one of the following grounds:

1) absence of applications submitted for participation in an auction or tender;

2) failure of a single participant to confirm the initial or declared price at the auction or to submit the initial price of the privatization object in the tender;

3) failure of the winner of the auction or tender to sign the purchase and sale agreement within the period established by paragraph 6 of this article.

In the cases provided for in this paragraph, the seller signs an act on a missed auction or tender and the object of privatization is again put up for auction.

5.the person who won the auction and the seller sign the protocol on the results of the auction on the day of the auction or tender.

6.the parties must sign the purchase and sale agreement no later than ten calendar days after the end of the auction.

The person who won the auction loses the guarantee fee made by him in case of evasion of signing the protocol on the results of the auction or the contract of sale and is obliged to compensate the seller for the actual damage caused by him in the part not covered by the guarantee fee.

Except in cases where the person who won the auction does not meet the requirements of Article 93 of this law, the seller is not entitled to evade signing the protocol on the results of the auction and the purchase and sale agreement with the person who won the auction.

The terms of the purchase and sale agreement should not contradict the terms of the trade.

Contracts for the purchase and sale of an enterprise as a property complex must contain requirements for terms, during which the buyer submits an application to the state corporation "government for citizens" to register the termination of the enterprise's activities.

7.a purchase and sale agreement is issued to them for review at the request of interested persons in compliance with the requirements for the disclosure of information constituting commercial and other secrets protected by the laws of the Republic of Kazakhstan established by the Civil Code of the Republic of Kazakhstan and other laws of the Republic of Kazakhstan.

8.bidding conducted in violation of the rules established by this article may be declared invalid by the court at the request of the interested person, the relevant authorized body or the prosecutor.

Recognition of a trade as invalid entails the invalidity of the purchase and sale agreement concluded based on the results of such a trade.

9.when conducting auctions, the rules established by this article shall apply, unless otherwise provided by articles 102, 104 of this law.

Law of the Republic of Kazakhstan dated March 1, 2011 No. 413-IV.

This law defines the legal regime of state property, the legal basis for the management of state property, including property assigned to state legal entities and shares and shares belonging to the state in the authorized capital of legal entities, the legal basis for the acquisition and termination of rights to state property and is aimed at ensuring the effective implementation by the state of the owner's rights to state property and other rights.

President

Republic of Kazakhstan

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