According to the draft of Organic Law on Agricultural Land Ownership, foreigners who own agricultural lands will have to pay fines if they dont cultivate anything on it. For the land which is less than one hectare foreigners will have to pay 500 Lari if they do not cultivate the land for three years straight. In case of larger lands, foreigners will have to pay 300 Lari for every following hectare. However, the maximum of these sanctions is 20 000 GEL.
In case they don’t comply with these obligations, fines rise to 700 GEL per hectare (for land with less than one hectare) and 400 GEL per hectare (for land with more than one hectare), however the maximum amount of the sanctions is 50 000 GEL.
Legislative package also involves fines for financial institutions, which have foreigners (legal entities registered abroad) as their dominant financial partners. If they don’t sell their lands within the two years after this law enters into force, the fines will amount to 500 GEL (for land with less than one hectare) and 300 GEL per hectare (for land with more than one hectare). Fines will not exceed 50 000 GEL in this case.
In case the obligations are not met in the following years as well, then the fines rise to to 700 GEL (for land with less than one hectare) and 400 GEL per hectare (for land with more than one hectare), not exceeding total amount of 80 000 GEL.
