Alexander Kalinin: What prevents the adoption of thr new law on appraisal activity?

Almaty. January 11. KazTAG - Anastasia Matorina. People will have to forget about independent and fair assessment of property in Kazakhstan , believes first deputy chairman of the Presidium, chairman of the expert council of the Republican Chamber of Appraisers Alexander Kalinin. The Majilis of Parliament for the second year has been discussing the draft law "On appraisal activity in Kazakhstan". The expert told KazTAG what prevents the adoption of the new law and which consequences people may face.

- The law "On appraisal activity" has been in power since 2009. How does the new document differ from the old one?

- Discussion of the concept and the new draft law "On appraisal activity" has been underway for about three years, including for more than a year in the Majilis. During this time 15 meetings were held. The new draft law has more than 800 proposals and amendments negotiated by the deputies, public and other interested organizations.
As a result, we have a new law significantly different from that: the document has been changed by more than 60%. In fact, in the first reading, it was adopted by the Majilis  on January 11, 2015 - more than a year ago. Then, it was given a positive assessment by the government.

- So why hasn't it come into force yet?

- The  draft law "On self-regulation" was in consideration that time and there was made an order to wait for its final adoption They waited. The law was passed in November last year and will come into effect as early as this May. The National Chamber of Entrepreneurs (NPP) "Atameken" on the example of the draft law on the assessment decided  to hold a demonstration discussion procedure for compliance with the law "On assessment" with the provisions of the law "On self-regulation."
It is worth noting that we have analyzed articles in both documents and found fundamental differences and contradictions there. But given that the law "On the self-regulation" will enter into force on 12 May 2016,  a year will be needed to align the provisions of both laws, then our law will come into force after 6 months. Thus, our main branch  document will come into force in 2 years ?!

- What is the position of the National Chamber?

- The position of the National Chamber is uncertain. The main chamber has two main goals -getting deposits and monitoring of the entrepreneurs. How to do this, including the assessment, if there is no agreement in the Chamber and in the Government?
In addition, there is another -internal  problem in the branch. There are differences and contradictions in each community, and the evaluation activity - is no exception. A group of colleagues-appraisers appealed to the National Chamber of Entrepreneurs and Majilis with the proposal to postpone the adoption of the new law on the assessment prior to the enactment of the law "On self-regulation." These so-called individual colleagues previously opposed the concept and the draft law on the assessment, providing tighter control over the quality of the valuation services.
Their main task - by any means to save their personal business. No form of control - expertise, training, code of ethics, certification - are needed for them. The Parliament and the Government did not support this position. However, there is a new opportunity to "swing" the problem. It seems that someone is interested in keeping the expectation and uncertainty in the assessment of the property.

- Are there any specific examples?

- Yes. Insurers, for example, tried to push through the new law "On appraisal activity" the solution to the issue of independent assessment of the damage of vehicles in terms of insurance of civil liability of drivers. When the evaluators repulsed, they lobbied it through additions to its core law "On insurance of civil responsibility" and since the beginning of this year they got this opportunity.
Banks put in the draft law on the assessment an article that they are the customers of evaluation of the collateral. Because of this we have to forget about the independent and fair valuation, because, especially in the times of crisis, one will always find so-called experts, appraisers, who will draw any sum for the benefactor, the customer among the second tier banks.

- They say that the evaluation of the privatized state corporations is planned to be transferred to foreigners?

- The officials from two ministries proposed to transfer the assessment of property of the privatized state corporations to foreign specialists. But it is an internal problem of the Republic, the evaluation must be based on the law and on the assessment of the national standards in Kazakhstan. How can it concern the foreign companies? Do they know the Kazakh market better than we and develop regulations, guidance documents on appraisal activity?
It seems that they are trying to dilute the appraisal into branches. Unfortunately, the evaluators note that the Ministry of Justice as the competent authority for the appraisal activity, is trying to convey a part of the valuation to the forensic and law enforcement.
In this regard, the presidium of the Republican Chamber of Appraisers further appealed to the working group of Majilis of Parliament of Kazakhstan for early completion of discussions on the draft law "On appraisal activities in the Republic of Kazakhstan" with the transfer of the approval of the Senate.

- Thanks for the interview!