The Ukrainian Journal of Bussines Law

[http://www.portmone.com.ua/v2/ru/services/periodicals/2533/] Counse link ANTIKA Law Firm 12, Khreshchatyk street, 2-nd floor, Kyiv , 01001 , Ukraine Phone: +38 (044) 390 09 20 Fax: +38 (044) 390 09 21 office@antikalaw.com.ua www.antikalaw.com.ua/en Arzinger 75, Zhylyanska Street., 5th floor, Kyiv , 01032 , Ukraine Phone: +38 (044) 390 55 33 Fax: +38 (044) 390 55 40 mail@arzinger.ua www.arzinger.ua Asters Leonardo Business Center, 14th floor, 19-21 Bohdana Khmelnytskoho St., Kyiv , 01030 , Ukraine Phone: +380 44 230 6000 Fax: +380 44 230 6001 info@asterslaw.com www.asterslaw.com Chadbourne & Parke LLP 25B Sahaydachnoho Street, 3 Floor, Kyiv , 04070 , Ukraine Phone: +38 (044) 461 75 75 Fax: +38 (044) 461 75 76 Kyiv@chadbourne.com www.chadbourne.com CMS Cameron McKenna LLC 6 Floor, 38 Volodymyrska Street, Kyiv , 01034 , Ukraine Phone: (044) 391 33 77 Fax: (044) 391 33 88 kyivoffice@cms-cmck.com www.law-now.com DLA Piper Ukraine, LLC 77A Velyka Vasylkivska Street, Kyiv , 03150 , Ukraine Phone: (044) 490 95 75 Fax: (044) 490 95 77 ukraine@dlapiper.com www.dlapiper.com Gvozdiy & Oberkovych 19B Instytutska Street, Office 29, Kyiv , 01021 , Ukraine Phone: +38 (044) 581 12 20 Phone: +38 (044) 581 12 21 Fax: +38 (044) 581 12 22 info@golaw.ua www.golaw.ua Ilyashev & Partners 11 Kudryavska Str, Kyiv , 04053 , Ukraine Phone: +38 (044) 494 19 19 Fax: +38 (044) 494 19 99 office@attorneys.ua www.attorneys.ua IMG Partners 1/8 Ihorivska str.,, Kyiv , 04070 , Ukraine Phone: +380 44 201-10-66 Fax: +380 44 201-10-66 office@imgpartners.com.ua www.imgpartners.com.ua International law firm Integrites 15-B Borysohlibska St.,, Kyiv , 04070 , Ukraine Phone: +380†(44) 391 38 53 Fax: +380†(44) 391 38 54 pr@integrites.com www.integrites.com Inyurpolis law firm (ILF) 14-A †Skrypnyka Street,, Kharkov , 61057 , Ukraine Phone: +38†(057)†728 00 00 Fax: +38†(057)†714 06 28 office@ilf-ua.com www.ilf-ua.com Konnov & Sozanovsky 23 Shota Rustaveli Street, Suite 3, Kiev , 01019 , Ukraine Phone: +380 (0) 44 490-5400 Fax: +380 (0) 44 490-5490 info@konnov.com www.konnov.com LCF Law Group 47 Volodymyrska street, Office 3, Kyiv , 01034 , Ukraine Phone: +38 (044) 455 88 87 Fax: +38 (044) 502 55 23 info@lcfgroup.com.ua www.lcfgroup.com.ua/en/ Sokolovskyi and Partners Law Firm 25 Klinichna Street, 2nd floor, Kyiv , 03141 , Ukraine Phone: +380 44 495 1928 Fax: +380 44 275 6799 pravo@lex.org.ua www.lex.org.ua VS Litigation 16/3, M. Zhytomyrska Str., Office 28, Kyiv , 01001 , Ukraine Phone: +380 (44) 227 44 99 Fax: +380 (44) 278 31 73 Kyiv@vslitigation.com vslitigation.com CURRENT ISSUE ( May 2013 ) In focus – Fraud and Corruption Anti-corruption initiatives have become a worldwide trend over the last few years. The far-reaching consequences of the US Foreign Corrupt Practices Act (FCPA) and UK Bribery Act ensured a global impact on doing business and legal services in particular. In developed countries the role of banks and other financial institutions in preventing corruption and fraudulent practice is extremely highЕ Expert Opinion Risk Alert: Bribery Red Flags and Schemes Andriy V. Kirmach No one doubts that Ukraine has a corruption problem. The Ukrainian President reported that the country suffered budgetary losses of over USD 2.5 billion in 2012 because of corruption. According to the 2012 Corruption Perception Index published by Transparency International Ч Ukraine shares 144th place out of 174 countries together with Bangladesh, Cameroon, Republic of Congo, Syria and the South African Republic... In Re Operation of the UK Bribery Act in Ukraine Svetlana Y. Kovalska The Bribery Act was adopted by the UK Parliament in 2010 and has been in force since 1 July 2011. It was described as having near-universal jurisdiction since it allows prosecution of both individuals and companies with links to the United Kingdom (UK), regardless of where the crime occurred. Two offences were introduced by the Bribery Act allowing prosecution for a crime committed outside the UK: bribing a foreign official and failure of a commercial organisation to prevent bribery... Internal Anti-Corruption Investigations: to Get out of Trouble Oleg A. Klymchuk, Alexander Weigelt Internal anti-corruption (anti-bribery) investigation is becoming an increasingly common, integral part of the compliance system of many international and larger local companies, which seriously and globally consider their reputation and negative legal consequences related to that. The enactment of the UK Bribery Act and US Foreign Corrupt Practice Act has raised additional concerns for businesses operating in Ukraine. This article is dedicated to legal aspects of internal anti-corruption investigations in Ukraine as well as new legal developments in this regard... Bankruptcy Fraud Schemes in Ukraine Anna F. Tyshchenko Bankruptcy is a necessary legal institution that has many purposes. In my opinion, the most important one is to ensure that economic problems and impossibility to continue business will affect the bankruptТs counterparts as little as possible or will not affect them at all. Still, national practice shows the opposite meaning of this term. It is widely known that in Ukraine bankruptcy is frequently used as a tool to clean up a business and to get rid of undesired creditors. In the main the reason for such a trend is not imperfect legislation but the committing of fraud and other crimes that may be referred to as Уcriminal bankruptcyФЕ Incorporating Surveillance Operation (Fraud and Corruption) Guidelines v. Personal Data Protection Oleg P. Zagnitko, Olena S. Nagorianska A guideline on prevention and fight of the fraud is one of the core practices in corporate governance. Low tolerance of corruption became a principle in socially responsible business conduct. In addition to the regulatory focus in Ukraine, there are international instruments ratified by the Verkhovna Rada as well as laws of other countries, such as the United States of America, the United Kingdom, Germany trying to extend their jurisdiction extraterritorially through parent companies and headquarters located in their respective territoriesЕ Hot Issue Financial Institution Fraud Pavlo I. Odnokoz One of the recent trends in the Ukrainian banking sector is multi-million sales of non-performing loans (the NPL). The highly anticipated sales, usually with significant discounts, have attracted a lot of interest from investors seeking to acquire such assets to make extra profits. According to the official statistics of the National Bank of Ukraine, the total amount of NPL in the banking system came to USD 9.5 billion as of 1 March 2013, which constitutes approximately 9.3% of all loan portfolios of Ukrainian banksЕ Argument A Creation of Special Importance Yaroslav V. Romanchuk The establishment of the Ministry of Income and Charges of Ukraine is the most significant and courageous step in all the years of our countryТs independence. Under the permanent global crisis, almost all countries are reforming their tax systems, and Ukraine is no exception. Unfortunately, our tax system serves more as a fiscal than a stimulating one. This requires radical change. Besides, there is an urgent need to optimize staff numbers and to reduce maintenance costsЕ Crux Fertile Ground The Ukrainian agrarian sector was the most dynamically developing and promising one over the last few years. The favorable geographical advantages and strategic importance of the sector create a fertile ground for investments, expansion, innovations, and regulatory initiatives. The vertical integration in the sector and consolidation of land resources, funds attraction and regulatory field are among the hottest topics for agribusiness on the eve of the season. Our May panelist team examines the recent developmentsЕ Ivan Zievakov Certainly, the introduction of an agricultural receipts agency is aimed at attracting financing to the Ukrainian agricultural sector. This is not to say that before the On Agricultural Receipts Act of Ukraine came into force there were no legal mechanisms to attract financing for future harvests in Ukraine. There used to be futures contracts, as well as the possibility of transferring to pledge a future harvest according to Article 576 of the Civil Code of UkraineЕ Gabriel Aslanian For different tax and regulatory reasons, lenders usually distinguish between different companies making up the group while structuring agroholding financing transactions. As a matter of practice, fundraising achievements of the companies holding the majority of the groupТs assets (so-called propcos) are modest. At the same time, parent companies located in foreign jurisdictions, which have no production base, but exercise control over the other companies, are the groupТs fund raising leaders. In this case the affiliated assets of propcos are used as collateralЕ Sophia Savruk The Draft Act On the Land Market No.9001 that was considered by the Ukrainian Parliament at the end of 2011 was returned to its authors, who were instructed to address the most important issues of operations with all categories of land. However, some reformatory provisions of this Draft regarding operations with agricultural land met with a strong reaction from the public and had to be returned for further improvementsЕ Marianna Bek Ukraine has been drafting its organic legislation more than 12 years, but these efforts did not meet with success. Therefore, the Ukrainian organic industryТs development without legal basis is very slow today. For instance, in 2012 the share of internal organic production in total agricultural production accounted for 0.5% in the light of 10%, scheduled for 2015 by the State Program of Ukrainian agriculture development until 2015Е Anna Melnychuk The agricultural sector involves a great deal of business risks. Therefore, Ukrainian agricultural companies require reliable and efficient insurance mechanisms. Even though the Ukrainian government has not endorsed legislative procedures for certain types of compulsory insurance (e.g., liability insurance for producers, using or storing pesticides and agrochemicals), recent trends in agricultural insurance brought a range of perspectives for agricultural producersЕ HOME CURRENT ISSUE SUBSCRIBE & ORDER NEWS SPONSORSHIP & ADVERTISING GET PUBLISHED EDITORIAL CALENDAR ARCHIVE CONTACT HOME CURRENT ISSUE SUBSCRIBE & ORDER NEWS ADVERTISE GET PUBLISHED EDITORIAL CALENDAR ARCHIVE CONTACT BANNER EXCHANGE Copyright © 2003-2013 by Yuridicheskaya Practika Publishing. All rights reserved.