Legislation, Lithuania, Markets and Companies

The new law on natural persons' bankruptcy which was pushed very hastily seems rather suspicious.

The MPs themselves admit that the new law needs amending, but this has been tasked to courts. Experts say that the lawmakers yet again took the easiest way of putting all responsibility on people, while banks that issue irresponsible loans will avoid the blame again.

MP Remigijus Zemaitaitis says that the law is full of loopholes dangerous to people but beneficial to banks: "imagine that the bank estimates somebody's assets at LTL 200,000 (EUR 58,000) while the actual value stands at only LTL 50,000 (EUR 15,000) and the whole responsibility falls on that person instead of the bank that easily gives loans to anyone with financial ignorance".