A new online platform will replace humans as courts move to reduce corruption in the auctioning process of loan defaulters. The move follows numerous complaints of how properties are undervalued and sold at give-away prices, causing losses to the owners and at times the lending institutions. The process is currently managed by licensed auctioneers also known as receivers. Zacharie Harelimana, the E-Justice specialist at the Ministry of justice told The New Times that the new online platform could be operational by October this year if all goes according to plan. Once it starts to operate, Harelimana said, the property to be auctioned and its details will be posted online with a starting price determined by professional valuers. “It [property] will be accessed online so that the competing buyers are not in physical contact with one another to avoid malpractices such as corruption and conniving to devalue the property,” he said. Harelimana added that the introduction of the new online platform is in the same spirit as the Integrated Electronic Case Management System initiative, which has boosted efficiency in Courts. With the new online system, bids will be posted and open for everyone to see and the identity of the winner will only be unveiled after the deadline. “We are currently finalising the platform and training the users,” Harelimana said, adding that the new system is part of the Rwf600 million financing earmarked for integrated initiatives this fiscal year. Registrar General reacts Richard Kayibanda, the Registrar General at Rwanda Development Board who handles complaints about auctioning of collaterals in banks told The New Times that such a platform will help to eliminate corrupt auctioneers. “I believe that this platform will help us to reduce malpractices,” he said. The Office of the Registrar General has had to investigate allegations of malpractices in the auctioning process. “We have suspended two Receivers so far this year after finding irregularities in the auction they conducted,” Kayibanda said. To ensure that property valuation is professionally done, the Registrar General is working closely with the Institute of Real Property Valuers to create new guidelines on reference prices. “These new guidelines will ensure that there will be a reduction in discrepancies in property valuations,” he Kayibanda said. editorial@newtimes.co.rw
