Legislative news digest: LEGAL HOTLINE 21.06.2018

The beginning of large-scale privatization

From June 12, 2018 came into force the Procedure for sale of state property large-scale privatization objects that was approved by the Decree of the Cabinet of Ministers of Ukraine (hereinafter referred to as the “KMU”) dated on May 10, 2018, under No. 386 (hereinafter – “the Decree”).

According to the Law of Ukraine “On Privatization of State and Municipal Property” objects of large-scale privatization include objects of state or municipal property, the value of which assets according to the financial statements for the last reporting year exceeds 250 million UAH. Sale of state property objects are carried out with the involvement of advisers on a competitive basis.

The document contains a detailed description of procedures for the preparation, organization and sale of large-scale privatization objects, from the preparation of auction to definition of winners.

Unified criteria for determining the frequency of planned inspections of state supervision bodies were approved

Under Decree № 362, dated on May 24,2017, the Cabinet of Ministers of Ukraine has proved “The Methodology for developing criteria of evaluating the degree of risk from conducting business activities and determining the frequency of planned state supervision (control) measures”.

By the aforementioned Methodology was introduced a single approach to the development of criteria by which business entities can be assigned to one of the three risk levels (high, medium, minor). Depending on the degree of risk from the conduct of economic activity, the frequency of carrying out a planned state supervision (control) measures is established in accordance with the Law of Ukraine “On the Basic Principles of State Supervision (Control) in the Field of Economic Activity”.
The mentioned Decree of the Cabinet of Ministers of Ukraine also approved the Methodology for the development of unified forms of acts, which are made on the basis of planned (unscheduled) measures of state supervision (control).

Methodology will not be applied till September 1, 2018.

National Bank of Ukraine continues to provide foreign exchange restriction for business activity

The National Bank of Ukraine (hereinafter – NBU), retained the enforcement for mandatory sale of foreign currency supply in the amount of 50 % till December 13, 2018, by its resolution ‘On the introduction and establishment of the mandatory sale of foreign currency supply’ under No. 65, dated on June 12, 2018.

The regulator emphasizes that this restriction remains an effective tool for ensuring the rhythm of foreign exchange supplies on the interbank foreign exchange market and, accordingly, to maintain stability of the foreign exchange market.

The regulator’s decision entered into force on June 14, 2018 and is valid until December 13, 2018 inclusive.

National Bank of Ukraine simplifies the documentation process for currency trading operations

The procedure manual for the organization and carrying out currency trading operations on the territory of Ukraine, under the Resolution of the National Bank of Ukraine (hereinafter – NBU), dated on June 7, 2018, under № 63, is amended that simplifies the procedure for carrying out currency exchange operations for banks and financial institutions.

Banks will be given the opportunity to make out a transaction receipt both in paper and electronic forms. Accordingly, banks will be able to store such documents in electronic form. Upon agreement with the client, the bank would not be obliged to issue a document to the client in paper form.

Banks and financial institutions will no longer require a customer’s signature on a receipt or RRO document when executing a currency exchange operation for an amount less than 150 thousand UAH.

The above changes come into force on July 1, 2018, however, some changes in conducting currency exchange operations will come into force only from January 1, 2019.

Second draft law ‘МаскиШоуСтоп’ (MaskShowStop) was represented

The second draft law was presented by the Minister of Justice of Ukraine, which is aimed to protect the entrepreneurs who suffered from illegal actions of law enforcement agencies.

The draft law establishes the principle of personal responsibility of a law enforcement officer who has violated the rights of the entrepreneur.
According to the Minister of Justice, collective irresponsibility will be replaced by the personal responsibility of a particular public person who signed the decision, which caused violation of rights or damages to the entrepreneur.

Bringing the offenders to the liability will consist of the following stages: submission of an appeal by a person to the actions or inactivity of the investigator or prosecutor; making a court decision on satisfaction of an appeal, which should indicate the obligatory nature of the internal investigation; internal investigation; material or disciplinary penalty.

The government of Ukraine introduces innovative approaches in the utilization of cash register

The Cabinet of Ministers of Ukraine adopted a decree during its session that has had place on June 13, 2018 about a conduction of the pilot project on the registration and exploitation of the newest models of cash registers.

The aforementioned project provides: expanding of the list of the existing models and functions of a cash register (it is planned to use mobile phones, tablets, laptops and other communication devices); cost reduction of cash register, registration of cash register in one day on a simplified form of application and without any attachments; integration of cash register with any kind of software etc. A decision about feasibility of further using of newest models of such software tools along with other traditional models would be taken after the completion of this pilot project.

In addition, the Government of Ukraine adopted a decree of June 13th 2018 “On amendments to the arrangement of technical servicing and repairing of cash registers” that establishes an electronic information exchange mechanism during the commissioning, technical servicing, as well as, it is being improved the process of technical servicing and repairing of cash registers.