Trading platform “SETAM”

In accordance with clause 2 of section XIII of the Procedure for the sale of seized property approved by the Ministry of Justice of Ukraine, only agents (certified employees) and accredited electronic trading platforms (operators) have the right to sell commodity lots from the central SPETS database. You can order the development or buy a ready-made electronic trading platform for the sale of seized property in the React Logic web studio, which can also provide consulting support at the accreditation stage.

What is “SPETS”?

“SPETS” is a state system of electronic trading in seized property, created in 2015 under the leadership of the Ministry of Justice of Ukraine in the form of a website and a single central database (CDB). The essence of the system is to organize public access to previously “closed” auctions, which, due to numerous abuses and violations, were available only to a narrow circle of companies. In other words, SPETS has collected information about all the seized property subject to sale and made it available for purchase to anyone who wants it.

In many ways, SPETS is similar to the ProZorro.Sale system, but among the key differences are: a dynamically updated product range, the volume of which is almost 4 times greater than ProZorro, and a higher level of “availability” for the end consumer.

Other features of SPETS:

• Anyone can take part in the auction: both an individual and a legal entity;
• in case of insufficient demand, a weakly liquid lot is sold according to the Dutch system, which guarantees the return of more than a third of the physical value of the lot;
• “SPETS” operates with financial assets that are alienated by a court decision, which ensures the security of the transaction and is legally confirmed;
• all movable and immovable property undergoes a thorough expert assessment, which nullifies the purchase of a lot at an overpriced price;
• seized property can be sold as part of one lot, which simplifies further registration of ownership rights.

According to Viktor Vishnev, General Director of SE “SPETS”, before the introduction of “SPETS” the cost of sold assets rose on average by 0.5%, while after the introduction of the system, the tremor of assets increased to 11.9%. Also, before the introduction of SPETS, the problem was widespread when almost 97% of commodity lots were not sold the first time, and at repeated auctions their value dropped by 50%. With the introduction of SPETS, about 70% of commodity lots are sold the first time, which minimized the loss of funds during markdowns.

What entrepreneurs need to know about “SPETS”?

In accordance with the Procedure for the sale of seized property, the procedure for selling seized property is carried out through an operator – a specialized electronic trading platform that interacts via API with the database of the organizer of the auction (“SPETS”). Any legal entity or individual who has the appropriate software and has received an accreditation sheet from the organizer can directly become an operator.

What is the amount of remuneration for the SPETS trading platforms?

For providing users with the opportunity to participate in electronic auctions for the sale of seized property, the trading platform receives a reward in the amount of up to 1% of the value of the lots sold. The operator is also entitled to a reward in cases where the winner of the auction refuses to buy the lot and has lost the guarantee fee. Remuneration rates are set by the Ministry of Justice of Ukraine and cannot be regulated by any other party (neither the organizer nor the operator).

Note! The transfer of remuneration to the operator is carried out by the organizer to the operator’s account within 3 working days from the date of approval of the act on the conduct of electronic trading (formulation of the protocol on the conduct of trading at a fixed price).

What is sold in the SPETS system?

In fact, the SPETS system contains all types of assets subject to seizure by the State Executive Service of Ukraine (GIS). Most often, SPETS receives property arrested for reasons such as tax evasion, smuggling, non-payment of alimony, etc. As a result, among the arrested property there are not only old cars, but also liquid real estate in the center of the capital.

The main product categories in SPETS:

• real estate (apartments, warehouses, factories, etc.);
• vehicles (cars, trucks, specialized, etc.);
• electronics (telephones, computers, printers, etc.);
• clothing (shoes, jackets, dresses, etc.);
• industrial goods and equipment (pumps, machine tools, building materials, etc.);
• household goods (dishes, furniture, kitchen utensils, etc.);
• office supplies (paper, staplers, folders, etc.);
• jewelry, etc.

SPETS system also supports the functionality of the voluntary sale of property, that is, any individual or legal entity can apply for the sale of a car, apartment or even a factory. Quite often, these functionality is used by banks for the sale of non-core property taken on the balance sheet against an outstanding loan.

How does trading on the SPETS trading platforms take place?

The auction procedure for a particular lot takes place within 1 business day (as a rule, from 9:00 to 18:00) on a predetermined date. However, if the last bid is received later than 5 minutes before the end of the auction, the bid is automatically extended by 10 minutes. The extension of the time for accepting applications is allowed until 22:00, then applications will not be accepted.

Stages of user participation in the auction:

• registering on the site and gaining access to your personal account;
• filing an application for participation in the auction;
• payment of the guarantee fee;
• submission of bids for the purchase of a lot;
• payment of the invoice for the lot after the publication of the trading protocol;
• obtaining a certificate of the auction, confirming the ownership.

Note! Bidding in the SPETS system is carried out on the basis of an English (direct) auction, in which a minimum starting price is used, increasing in accordance with the rates offered by the participants.

Not later than the next working day from the issuance of the act to the winner of the auction, the executor submits a resolution to remove the arrest from the property. In this case, the winner of the auction must pick up the property within 7 working days.

The unrealized property is put up by the organizer for repeated electronic auctions with price adjustments up to 85% for real estate and up to 75% for movable ones. If the sale did not take place during the repeated auction, the cost of real estate is reduced to 70%, and for movable property to 50% of the amount provided for in Art. 57 of the Law of Ukraine “On Enforcement Proceedings”.

Technical characteristics of the trading platform under “SPETS”

The marketplace will be developed on the basis of the Yii2 Framework PHP platform, which has a flexible build architecture, where the user interface, data storage logic and control logic are separate components. Thus, the modification of any elements of the trading platform is carried out with minimal impact on the overall structure of the system, thereby providing savings on tech service.

Note! The Yii2 Framework software platform has a built-in module for integration with third-party systems, which makes it possible to expand the trading platform with additional tools (telephony, converters, payment systems, etc.).

Adaptability

In order to provide performance and usability on all types of devices (mobile phones, tablets and computers), the marketplace will be integrated with the Twitter Bootstrap software platform. Flexible technology has proven itself well in the international market and is currently actively used by the largest web resources from around the world.

Security

The Yii2 Framework software platform is equipped with a built-in security system that protects against all the most common types of attacks: CSRF, XSS, SQL injection, etc. In fact, if all basic security recommendations are followed, it is impossible to hack a trading platform.

Optimization

The structure and code of the trading platform will be developed in accordance with the requirements and recommendations of the Google search engine, which will subsequently have a positive impact on promotion through both contextual advertising and SEO. This will allow the operator to significantly save on marketing services and at the same time launch the project faster without long-term resource optimization.