JSC «Otbasy Bank Housing Construction Savings Bank» is seeking to have the registration of LLP «Otbasy Mortgage» declared illegal.
According to bes.media, «Otbasy Mortgage» is not affiliated with the bank, but deliberately chose a similar name. The company provides intermediary services for the purchase, sale, and rental of property, including advice on «Otbasy Bank» mortgage products.
Initially, the bank's management filed a complaint with the Ministry of Justice. However, the Ministry stated that the LLP «Otbasy Mortgage» passed a uniqueness check of its name automatically, without the involvement of a registrar.
Subsequently, representatives of «Otbasy Bank» filed a private complaint with the administrative court, requesting that the Ministry of Justice be obliged «to take actions for a full, comprehensive, and objective investigation of the factual circumstances».
Nevertheless, the claim was returned, with the explanation that the response from the Ministry of Justice department cannot be appealed, as it is not a binding document, but rather of an explanatory nature.
«The claim brought forward cannot be the subject of an administrative court proceeding, as the claimant's demand is not subject to independent consideration under administrative proceedings», the case materials state.
Then «Otbasy Bank» filed an appeal requesting the cancellation of the first-instance court's decision, but to no avail.
«The first-instance court correctly concluded that the case is not subject to consideration under administrative proceedings. (...) The court's ruling is lawful and justified; the arguments of the private complaint cannot serve as grounds for its reversal.», the case materials state.
In turn, the director of LLP «Otbasy Mortgage», Dana Aitbayeva, stated that she was unaware of the court proceedings. According to her, before registering the partnership, the name was checked on eGov. Incidentally, Aitbayeva turned out to be a former employee of «Otbasy Bank».
«I worked at Otbasy Bank for over three years. I am very grateful for the incredible opportunities and experience the bank gave me. Therefore, the word 'otbasy' is very warm to me. But the main reason was the meaning of the word itself, translated from Kazakh – 'family'. After all, we acquire a home specifically for the unit of society, that is, for ourselves and our families.», Dana Aitbayeva explained the choice of the company name.
She also believes that «Otbasy Mortgage» is not a name similar to the bank's.
«Otbasy Bank is a bank, 'Otbasy Mortgage' is a consulting company. The full name of Otbasy Bank is JSC 'Otbasy Bank Housing Construction Savings Bank'. By that logic, you could sue everyone who has at least one word that appears in the name of another legal entity. Overall, I believe there is a biased attitude from the management of the Almaty branch of Otbasy Bank, because I used to work there.», the head of the company concluded.
At the same time, «Otbasy Bank» stated that the name «Otbasy Mortgage» is similar to the bank's name, which could mislead consumers.
Despite the bank's management believing that LLP «Otbasy Mortgage» illegally uses part of the bank's name, the claim was filed specifically against the Ministry of Justice, not the company.
«The higher administrative authority for matters of registration of legal entities is the Ministry of Justice; therefore, the bank filed an administrative claim against the Ministry of Justice, not against LLP 'Otbasy Mortgage'.», the bank's press service concluded.