face for acts of corruption Lana Sinichkina, Partner, Head of - - PowerPoint PPT Presentation

Kyiv | 2015

Sanctions Ukrainian lawyers face for acts of corruption

Lana Sinichkina, Partner, Head of Anti-corruption Compliance and Business Ethics Practice

A lawyer bribes tax official for issuing certificate on absence of violations following audit of lawyer’s client

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Criminal sanctions

Bribing a public official (369 CC) Prohibits offering, promising or provision of a bribe by any person to a public official for the benefit of such person or any third party Sanctions:

• Fine from UAH 8 500 to 17 000
• Seizure of property (including illegal)
• Arrest for up to 6 months
• Custodial restraint from 2 to 4 years
• Imprisonment from 2 to 10 years

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Criminal sanctions

A lawyer presents expensive gift to a customs broker for influencing customs official to facilitate customs clearance

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Criminal sanctions

Trading in influence (369-2 CC) Prohibits offering, promising or provision of a bribe by any person to a person that promises influencing a public official’s decision Sanctions:

• Fine from UAH 3 400 to 8 500
• Seizure of including property
• Custodial restraint from 2 to 5 years
• Imprisonment for up to 2 years

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Criminal sanctions

A law firm representative offers kickback to a potential client for winning in a legal services tender

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Criminal sanctions

Bribing an officer of a private company (commercial bribery) (368-3 CC) Prohibits offering, promising or providing a bribe by anyone to officers Sanctions:

• Fine from UAH 2 550 to 12 750 and seizure of illegal property
• Community service 100 to 200 hours
• Custodial restraint for up to 4 years
• Imprisonment for up to 4 years

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Criminal sanctions

A lawyer bribes an expert for adjusting his conclusion for the benefit of his client

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Criminal sanctions

Bribing a person providing public services (368-4 CC) Prohibits offering, promising or providing a bribe by anyone to auditor, expert, independent intermediary Sanctions:

• Fine from UAH 2 550 to 12 750
• Seizure of illegal property
• Community service from 100 to 200 hours
• Custodial restraint for up to 4 years
• Imprisonment for up to 4 years

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Criminal sanctions

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Civil sanctions (including financial sanctions) void

Could be invalidated

If intentional- confiscation of all

• btained under the

contract + compensation

• f damages to

the state or third parties

The Law on advocacy activities (art. 35) established following sanctions for attorneys:

• Warning
• Debarment from 1 month to 1 year
• Deprivation of the right to practice advocacy

What is planned?

• Fine
• Improvement of debarment procedure

Grounds:

• Repeated disciplinary offence, violations of legal ethics
• Criminal offence

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Disciplinary sanctions

• Entering into registry of corruption offenders (+ debarment

from PP)

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Reputational damage

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Reputational damage

https://www.youtube.com/watch?v=_szJucVifkk&t=19

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Reputational damage

Moonlighting by public official violates anti-corruption laws Sanctions for officials:

• Administrative liability: fine from UAH 850 to 2 125, seizure of

income from side activity

• Dismissal
• Entering into register of corruption offenders

Sanctions for attorneys

• Debarment

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Reputational damage

Thank you for your attention!

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Head Office of Arzinger Eurasia Business Center, 75 Zhylyanska St. Kyiv, 01032, Ukraine Теl.: +38 (044) 390-55-33 Fax: +38 (044) 390-55-40 West Ukrainian Branch of Arzinger 6/1 Generala Chuprynky St. Lviv, 79013, Ukraine Tel.: +38 (032) 242-96-96 Fax: +38 (032) 242-96-95 South Ukrainian Branch of Arzinger Pokrovsky Business Center, 33 Zhukovskogo St. Оdessa, 65045, Ukraine Теl./Fax: +38 (048) 711-74-74 mail@arzinger.ua www.arzinger.ua We are looking forward to our future cooperation! Key Contacts: Timur Bondaryev, Managing Partner Timur.Bondaryev@arzinger.ua Sergiy Shklyar, Dr. Jur., Founding Partner Sergiy.Shklyar@arzinger.ua Lana Sinichkina, Partner Lana.Sinichkina@arzinger.ua

Our contacts

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