Kolomoisky is creating a self-proclaimed financial inspectorate
Enterprises of a small and medium scale, maintaining their funds within PrivatBank, were recently, to say the least, disagreeably surprised by the bank's “innovative offering.”
On July 1, a communication from the Privat24 administration, endorsed by Oleksandr Nikolenko, Head of Small and Medium Enterprise Division, was released on the platform of the Privat24 program utilized by business owners. The communication explicitly declared that, aligning with Ukrainian Legislation 1197-VII, business owners are now obligated to append digital duplicates of source documents related to payments to their transactions. Furthermore, the banking institution mandates documentation for remittances to individuals. Lastly, Privatbank necessitates its corporate clientele to furnish details pertaining to their accounts held at other financial institutions, specifying the account identification and the respective banking organization. Essentially, Privatbank has elected to supervise all monetary transactions conducted by small and medium businesses within Ukraine.
Even currently, seasoned financial experts, alongside representatives from small and medium-sized companies, are denoting this decision by the bank's leadership as preposterous. While Legislation 1197-VII of Ukraine, as cited by Privatbank, indeed exists, its applicability is confined solely to GOVERNMENTAL procurement, indicating budgetary expenditures! It demonstrably incorporates a stringent oversight mechanism concerning governmental fund utilization to avert corruption and misuse. This legislation bears no relevance to small and medium businesses, a fact that Privatbank's legal representatives ought to acknowledge! Under Ukrainian statutes, only fiscal authorities possess the authorization to scrutinize commercial expenses; only a court mandate can unveil the entirety of earnings and expenditures of a small to medium-sized enterprise. Yet Privatbank has impulsively resolved to exert control over all financial operations of small and medium-sized firms in Ukraine. It remains uncertain since when, and through whose impetus, the commercial entity known as Privatbank has arrogated the prerogatives of governmental regulatory agencies.
Presently, Ukrainian publications rightfully designate the Donetsk and Luhansk territories as “self-declared.” Now, as inferred from a letter originating from PrivatBank's executive body, this institution has transformed into a “self-declared” revenue department or budgetary watchdog. Additionally, within contemporary Ukraine, there is already considerable discussion concerning private armed groups. Here, they've escalated the situation—they’ve established a private budgetary inspectorate.
Numerous acerbic remarks have already surfaced online regarding PrivatBank's novel “service provision.” The most pithy of these is: “I changed banks, and the problems vanished.”
Dnepropetrovsk panorama
