• If the enforcement proceeding is conducted in favor of state budget or the one of an autonomous republic or a local self-governing unit, including the enforcement related to the realization of attached and mortgaged property of a debtor (in compliance with the court decision), and in case an initial auction doesn't identify a winner, or if a winner doesn't pay the property price within the deadlines stipulated by the law, within 15 days after the end of an auction, NBE is authorized to issue an order about the delivery of the property in kind to the ownership of state, autonomous/local self-governing unit. Then the Order is sent for registration. If the order isn't issued in the above mentioned deadline, NBE provides a repeated auction (if an initial one hasn't identified a winner) or re-holds it (if a winner hasn't paid the property price in time).
• If the repeated auction hasn't revealed a winner either or if the winner hasn't paid the property price in time, NBE is authorized to issue an order about the delivery of the property in kind to the ownership of state, autonomous/local self-governing unit within 15 days after the end of an auction. Then the Order is sent for registration. If the order hasn't been issued in due time, the property is unattached (is no longer bound to attachment in favor of a creditor conducting a compulsory realization) and is delivered back to the debtor.
• If the enforcement proceeding is conducted in favor of state budget or the one of an autonomous republic or a local self-governing unit, including the enforcement related to the realization of attached and mortgaged property of a debtor (in compliance with the court decision), and an auction stipulated by 81 sub-article of the 75 Article of the Law has been held (zero auction where the market price of the property is below 5000 GEL), and the auction hasn't revealed a winner or the winner hasn't paid the property price in time, , NBE is authorized to issue an order about the delivery of the property in kind to the ownership of state, autonomous/local self-governing unit within 15 days after the end of an auction. Then the Order is sent for registration. If the order hasn't been issued in due time, the property is unattached (is no longer bound to attachment in favor of a creditor conducting a compulsory realization) and is delivered back to the debtor.
• The copy of the Order referring to delivery of the property in kind to state/autonomous or self-governing bodies is sent to the relevant body authorized for managing the state-owned property and to the body participating in the enforcement proceeding.
• Order referring to delivery of the property in kind to state/autonomous or self-governing bodies should convey:
a) Data referring to the property owner (debtor);
b) Naming/location of the property and its short description;
c) data about the property receiver;
d) Value of the property
• The value of the property while delivering it in kind is the half of the amount of the market value of the property.
• In case of unsecured claim, the rights for the property registered in Civil Registry stay the same.
• In case of secured claim, the rights for the property registered in Civil Registry after the mortgage are abolished while being delivered in kind to the above mentioned institutions.
• If the compulsory enforcement is conducted with the goal of realizing the attached, mortgaged property of a debtor according to the court decision, all property rights are abolished as a result of delivering the property in kind. These rights for the property have been registered after establishing the commitment on the basis of which the property has been bound to tax mortgage.
• While receiving the property in kind, the state/autonomous and self-governing units substitute the former owner and become the party of the legal relations related to the ownership or the management of this property, if there is no other stipulation in law.
