The serious legislative gap that in practice nullifies the purpose of the bankruptcy law was highlighted by the PASOK MP for the Northern Sector of Athens Milena Apostolaki, during the discussion of her Topical Question to the Minister of National Economy and Finance.
According to a relevant announcement, the PASOK MP pointed out that, while Law 4738/2020 was presented as the reform that would give a real “second chance” to individuals and professionals, in practice those who complete the insolvency process, lose their property and are definitively discharged from their debts, continue to face active seizures on their bank accounts. As a result, banks refuse even to open new accounts, excluding them from economic life.
“The citizen may have been discharged from their debts, but continues to be excluded from the banking system. This is not a second chance. It is a permanent state of economic hostage-taking”, she stressed characteristically, noting that the State cannot erase debts while at the same time maintaining the enforcement measures that were imposed for them.
Addressing Deputy Finance Minister K. Markopoulos, she underlined that the problem has been known for quite some time and that what is lacking is not information but the political will to resolve it. At the same time, she rejected the claim regarding payment of 25% of the debts, clarifying that the discussion concerns exclusively citizens who have already received a declaratory act of discharge, which means that there is no longer any State claim that would justify maintaining the seizures.
The MP wondered whether those discharged from their debts to the State are being asked to pay 25% of what they do not owe in order for their accounts to be opened.
It caused an impression that the Deputy Minister called for respect for the claims of creditors, failing to understand that the debtor has now been discharged and the creditors have now been satisfied from his property, as provided by the law that the Government voted for.
Milena Apostolaki called on the government to clarify whether there is an administrative instruction to the Tax Offices that prevents the lifting of seizures or, otherwise, why the necessary circular has not been issued for the restoration of legality, but she received no answer.
“The declaratory act of discharge cannot be a formal judicial act without effect. As long as seizures remain active after discharge from debts, the purpose of the law is thwarted”, the PASOK MP concluded.