Ukraine Gains Control Over 58 Companies of Sanctioned Persons Since the War Began – Opendatabot

by Roman Cheplyk
Wednesday, June 5, 2024
Ukraine Gains Control Over 58 Companies of Sanctioned Persons Since the War Began – Opendatabot

Since the onset of the full-scale war, Ukraine has transferred ownership of 58 companies, previously owned by collaborators, Russians, or individuals associated with and supporting the war, to the state

This information was reported by the Opendatabot service.

Key Facts:

  • Company Ownership: Of the 58 companies transferred to the state, only 13 were directly owned by Russians. The remaining 45 had founders with close ties to the aggressor or were supporters of the war in Ukraine.

  • Internal Sanctions: All these companies were taken into Ukrainian ownership through the application of internal sanctions.

  • Legal Actions:

    • The Ministry of Justice has filed 48 lawsuits since the full-scale invasion began.
    • Out of these, 40 cases have been resolved in favor of the state.
    • One decision is still pending.
    • Seven cases are currently under consideration by the High Anti-Corruption Court (VAKS) and its Appeals Chamber.
    • According to Deputy Minister of Justice Inna Bohatyh, "98% of lawsuits filed for the recovery of assets are satisfied by the court."

Process of Seizing Property:

  • Sanction Decision: The National Security and Defense Council (NSDC) first makes a decision on applying sanctions to a specific person, which is then enacted by a decree from the President of Ukraine.
  • Asset Freezing: If the sanction includes freezing assets, the Ministry of Justice files a statement with VAKS to recover the assets of the sanctioned person for state income.
  • Scope of Seizure: The state can seize not only assets directly belonging to the sanctioned person but also those they can control through other individuals.

Current Status:

  • Russian-Owned Companies: At the start of the invasion, Opendatabot identified 18,940 companies with Russian owners in Ukrainian registries.
  • Ownership and Future Plans: All assets seized by the court are currently owned by the State Property Fund. These assets may eventually be privatized or sold at public auctions via the Prozorro.Sales system. Proceeds from these sales will go to the Fund for Liquidation of the Consequences of Armed Aggression.

Recent Developments:

  • On May 21, Prozorro.Prodazhi held the first online auctions for the sale of confiscated property, including apartments owned by sanctioned Russian billionaire Mykhailo Shelkov and collaborator Volodymyr Saldo.
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