Article 29-1. Microfinance Ombudsman, his status, election procedure and early termination of his powers. The Council of Representatives of the Microfinance Ombudsman, its competence of the Law on Microfinance Activities

Home / RLA / Article 29-1. Microfinance Ombudsman, his status, election procedure and early termination of his powers. The Council of Representatives of the Microfinance Ombudsman, its competence of the Law on Microfinance Activities

Article 29-1. Microfinance Ombudsman, his status, election procedure and early termination of his powers. The Council of Representatives of the Microfinance Ombudsman, its competence of the Law on Microfinance Activities

1. A microfinance ombudsman is an individual who is independent in his activities and settles disputes arising from a microcredit agreement concluded between a microfinance organization and an individual upon his request, in order to reach agreement on the satisfaction of the rights and legally protected interests of an individual and a microfinance organization, as well as in the cases provided for in paragraph 2 of this article. articles.

The Microfinance Ombudsman is guided in his activities by the following principles:

1) equality of the parties;

2) impartiality;

3) observance of the secrecy of the provision of microcredit and other legally protected secrets;

4) respect for the rights and legally protected interests of the parties;

5) transparency of the decision-making procedure and reasonableness of the decision.

2. The microfinance Ombudsman settles disputes arising between the borrower, who is an individual, and the person to whom the right (claim) has been assigned under the microcredit agreement concluded with such a borrower, based on the borrower's request.

The person to whom the right (claim) has been assigned under the microcredit agreement is obliged to interact with the microfinance ombudsman and provide any information and information related to the microcredit requested by the microfinance ombudsman when applying to the borrower, whose obligations under the microcredit agreement were acquired by him.

3. The election of the microfinance ombudsman is carried out by the council of representatives from among candidates approved by the authorized body for compliance with the requirements established by paragraph 1 of Article 29-2 of this Law.

The Council of Representatives is formed by one representative from:

1) associations (unions) of public associations of consumers and (or) republican public associations of consumers registered with the judicial authorities and engaged in activities aimed at the realization and protection of the rights of consumers of financial services, if any;

2) associations of financial organizations (unions) registered with the judicial authorities and engaged in activities aimed at representing and protecting the common interests of organizations engaged in microfinance activities, collection agencies;

3) the authorized body and the National Bank of the Republic of Kazakhstan.

The associations (unions) specified in subparagraph 2) of part one of this paragraph, within thirty calendar days from the date of registration with the judicial authorities, are required to join the council of representatives of the microfinance Ombudsman.

4. The Microfinance Ombudsman is elected for a three-year term.

The procedure for the election, early termination and implementation of the microfinance ombudsman's activities is determined by this Law and the regulatory legal act of the authorized body.

5. Competence of the Council of Representatives:

1) proposing candidates for election to the position of microfinance ombudsman, determining the voting procedure;

2) approval of the structure and staff (office of the Microfinance Ombudsman);

3) determining the procedure for financing the activities of the microfinance Ombudsman;

4) approval of the internal rules of the microfinance Ombudsman in coordination with the authorized body;

5) providing recommendations to the microfinance Ombudsman on improving his activities based on the results of the analysis of complaints from individual borrowers about the actions (inaction) of the microfinance ombudsman conducted by the authorized body and consideration of reports of the microfinance Ombudsman;

6) consideration of the petition of a member(s) of the Council of Representatives for early termination of the powers of the microfinance Ombudsman on the grounds provided for in paragraph 7 of this Article;

7) approval of the accounting, review, adoption and execution of decisions of the microfinance Ombudsman in coordination with the authorized body;

8) other issues related to the implementation of the microfinance Ombudsman's activities in accordance with this Law.

6. A meeting of the Council of Representatives shall be deemed competent and the conditions of the quorum shall be met if the members of the Council of Representatives present at it have a total of fifty percent or more of the total number of votes.

The Microfinance Ombudsman is elected by a majority vote of the members of the Council of Representatives present at the council meeting. Each member of the Council of Representatives has one vote in the voting. If the votes are equal, the vote of the representative of the authorized body is decisive.

Voting on the election of the microfinance Ombudsman is carried out in secret. The voting ballot must contain the following information:

1) the surname, first name, patronymic (if it is indicated in the identity document) of the candidate recommended for election to the position of microfinance ombudsman;

2) information confirming the candidate's compliance with the requirements set out in paragraph 1 of Article 29-2 of this Law;

3) information on the candidate's position in a microfinance organization and (or) a collection agency, an authorized body, the National Bank of the Republic of Kazakhstan, on the presence of signs of affiliation to a microfinance organization and (or) a collection agency, on working close relatives, spouse and (or) relatives in the position of head of the authorized body, the National Bank of the Republic of Kazakhstan or their deputies, as well as the head of the structural unit of the authorized body, the National Bank of the Republic of Kazakhstan;

4) voting options on the issue expressed in the words "for" or "against".

7. The early termination of the powers of the microfinance Ombudsman is carried out by the Council of representatives of the Microfinance Ombudsman on the following grounds:

1) identification of non-compliance of the microfinance ombudsman with the requirements established by paragraph 1 of Article 29-2 of this Law;

2) holding any position in a microfinance organization, collection agency, authorized body, National Bank of the Republic of Kazakhstan, the presence of signs of affiliation of the microfinance ombudsman with a microfinance organization and (or) collection agency, occupation by close relatives, spouse and (or) relatives of the position of head of the authorized body, the National Bank of the Republic of Kazakhstan or their deputies, as well as the head of the structural unit of the authorized body, the National Bank of the Republic of Kazakhstan;

IZPI's note! Subparagraph 3) is amended by the Law of the Republic of Kazakhstan dated 30.06.2025 No. 205-VIII (effective sixty calendar days after the date of its first official publication).

3) repeated (three or more times within twelve consecutive calendar months) violation of the requirements of this Law.

Early termination of the powers of the microfinance Ombudsman on his initiative is carried out on the basis of a written notification from the Council of Representatives.

A written notification is submitted to the Council of Representatives at least one month before the termination of powers in accordance with the procedure established by the internal rules of the microfinance Ombudsman.

The Law of the Republic of Kazakhstan dated November 26, 2012 No. 56-V.

This Law regulates public relations related to the provision of micro-loans, establishes the specifics of the creation and reorganization of organizations engaged in microfinance activities, the legal status, activities of organizations engaged in microfinance activities, and also defines the specifics of state regulation of organizations engaged in microfinance activities, control and supervision of their activities.

President

Republic of Kazakhstan

Constitution Law Code Standard Decree Order Decision Resolution Lawyer Almaty Lawyer Legal service Legal advice Civil Criminal Administrative cases Disputes Defense Arbitration Law Company Kazakhstan Law Firm Court Cases