Parliament intends to create the institution of business Ombudsman

Рада намерена создать учреждение бизнес-омбудсмена

The Verkhovna Rada of Ukraine (VRU) adopted in the first reading the government bill No. 4591 “On the establishment of the business Ombudsman”. The decision was supported by 242 people’s deputies.

According to the explanatory note to the document, the draft law has been prepared to implement the commitments of the Memorandum of understanding for the maintenance of the Ukrainian anti-corruption initiative 12 may 2014, signed by the Cabinet of Ministers of Ukraine, the European Bank for reconstruction and development, the Organisation for economic cooperation and development, the American chamber of Commerce in Ukraine, European business Association, Federation of employers of Ukraine, chamber of Commerce and industry of Ukraine and the Ukrainian Union of Industrialists and entrepreneurs. So, undertaking 2 of the Memorandum identified the need of establishment of a business Ombudsman with the aim of promoting transparency of public authorities and entities under their control, preventing the unscrupulous (dishonest) behavior of economic entities, engaged in business in Ukraine.

“The goal of the development of the draft act is to introduce at the legislative level in Ukraine of the Institute of business Ombudsman as a mediator, an independent third party, is conducive to business entities in protection of their right to business. The draft act defines the legal basis for the creation and organization of activity of establishment of the business Ombudsman, areas of activity, as well as the principles of its relations with the state, state bodies, bodies of local self-government, entities under their control, as well as by business entities”, – stated in the explanatory Memorandum.

Related news: the Cabinet has approved the draft law on the institution of the business Ombudsman

We will remind, in October 2014, the Ministry of economic development and trade of Ukraine initiated the creation of Council of business Ombudsman to improve entrepreneurial activities. Later the Cabinet of Ministers formed the Council of the business Ombudsman.

The Council includes business Ombudsman, two Deputy Ombudsman; employees whom the Council may, in accordance with its needs to employ in accordance with the regulations.

In addition, the governing body of the Board is the Supervisory Board. The Supervisory Council consists of authorized representatives of the parties of the group: unit 1 – the Cabinet of Ministers of Ukraine; unit 2 – international financial organizations (European Bank for reconstruction and development, the Organization for economic cooperation and development); block 3 – business associations (American chamber of Commerce in Ukraine, European business Association, Federation of employers of Ukraine, the chamber of Commerce of Ukraine, Ukrainian Union of Industrialists and entrepreneurs).

The government of Ukraine and the EBRD may 12, 2014 signed a Memorandum of understanding for the Ukrainian anti-corruption initiatives, providing for the establishment of the Institute of business Ombudsman. EBRD intends to allocate annually 1.5 million euros for funding of the office of the Ombudsman.

We will remind, from December 10, 2014 the post of business Ombudsman is Algirdas Shemet – Lithuanian and European politician, former Minister of Finance of Lithuania, European Commissioner for budget and financial planning (2009-2010), European Commissioner for taxation, customs Union, audit and anti-fraud (2010-2014).

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