On equity participation in housing construction

On the territory of the regional center, shared-equity construction is actively developing, which is regulated by the Law "On Shared Participation in Housing Construction" (hereinafter – the Law).

In accordance with paragraph 1 of Article 7 of the Law "On Equity Participation in Housing Construction", equity participation is organized in three ways:

1) obtaining guarantees of a Single operator (the developer is obliged to conclude a guarantee agreement with a single operator of JSC "Kazakhstan Housing Company");

2) participation in the project of a second-tier bank (the developer must obtain permission from the local executive body to attract funds from shareholders);

3) attracting money from shareholders after the construction of the frame of an apartment building (the developer must obtain permission from the local executive body to attract funds from shareholders).

Currently, the office of the Akim of the East Kazakhstan region is monitoring on an ongoing basis, according to the results of monitoring by the GASK Management of East Kazakhstan Region, 5 developers (Deineka LLP (for 2 objects), Royale Finance Group LLP, DALA SK LLP, Elit Stroy group LLP, Asilzholgroup LLP) have been attracted to administrative responsibility under Article 320 of the Administrative Code of the Republic of Kazakhstan (for violating the requirements of the legislative act of the Republic of Kazakhstan on equity participation in housing construction and housing legislation of the Republic of Kazakhstan).

In relation to 4 developers, namely Stroi Invest Capital, Turquoise Example LLP, Royal Finance Group LLP, Baiterek Invest LLP, administrative proceedings were initiated under Article 320 of the Administrative Code of the Republic of Kazakhstan, the materials were sent to the Specialized Court for Administrative Offenses of Ust-Kamenogorsk for prosecution