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Article 107. A Public Foundation

[as amended by (2) Edict No. 2489 Having the Force of Law of the President of the Republic of Kazakhstan. Concerning the Introduction of Amendments and Additions to Certain Legislative Acts of the Republic of Kazakhstan and Edict Having the Force of Law of the President of the Republic of Kazakhstan "Concerning the State Registration of Legal Entities". October 5, 1995;

(11) Law of 11th July 1997 of the Republic of Kazakhstan. Concerning the Introduction of Amendments and Additions to Certain Legislative Acts of the Republic of Kazakhstan Concerning Issues of Banking Activity; and

(18) Law No. 436 of 16th July 1999 of the Republic of Kazakhstan "Concerning the Introduction of Amendments and Additions to Certain Legislative Acts of the Republic of Kazakhstan"

1. A public foundation shall be recognised as a non-commercial organisation which has not any membership, which is founded by citizens and (or) legal entities on the basis of their voluntary property contributions, and which pursues social, educational, and any other publicly-useful purposes.

2. A public foundation shall be a legal entity and in the Civil rights turnover it shall be represented by the bodies of the foundation, it shall have an independent balance-sheet and the bank account.

3. The assets which are transferred to a public foundation by its founders shall be property of the foundation.

Foundation parties of a foundation shall have not property rights with regard to the property of a given public foundation.

4. The s funds as well as other assets of the founders, sponsorship, voluntary, charity donations and any other legal receipts shall be the financial source of a public foundation.

5. The procedure for managing a public foundation and the procedure for the formation of its bodies shall be determined by its charter which is approved by the founder.

The charter of a public foundation, aside of the information contained in paragraph 5 of Article 41 of this Code, must contain the indications concerning the bodies of the foundation, concerning the procedure for the appointment of the foundation officials and their release, the destiny of the foundation property in the case of its liquidation.

6. The foundation shall be obliged to publish in official publications annually the reports concerning the use of its assets.

7. Upon the resolution of the court a public foundation may be liquidated in the following cases:

1) where the assets of the foundation are not sufficient for attaining its objectives and the probability of obtaining the required assets is not realistic;

2) where the purposes of a foundation may not be reached and appropriate changes of foundation's objectives may not be made;

3) in the event that the foundations in its activities deviates from the objectives which are stipulated in its charter;

4) in any other cases which are stipulated in legislative acts or the foundation documents.

8. The assets which remain after the liquidation of a public association shall be used for the purposes contemplated in its charter.

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