This March ‘leaders’ of the so-called ‘Donetsk People’s Republic’ and ‘Lugansk People’s Republic’ declared starting nationalization of the enterprises which used to operate within the Ukrainian legal field. That is 43 enterprises of different forms of ownership.
The so-called ‘nationalization’ of enterprises within Donbas territories occupied by terrorists, temporary administrations there, retargeting of such enterprises to another market channels are gross violations of Ukrainian legislation and criminally punishable acts. So, it is quite naturally that such actions are qualified by Ukraine as robbery, appropriation, embezzlement, deliberate destruction or damage to property, opposition to lawful economic activity and money laundering. That is far from the full list of economic crimes being committed in the territory of the DPR and LPR.
It is beyond doubt that it was not the leaders of Donetsk and Lugansk terrorists who decided to take over Ukrainian enterprises as they are not self-sufficient figures, but that was Kremlin’s decision, though Moscow strongly denies this fact. Russian President’s spokesman Dmitriy Peskov stated that in Russia ‘it is not considered the so-called nationalization of enterprises as a grabbing’ [where as it is known the external administration was entered] and noted out that Donbass enterprises occupied by terrorists ‘have no concern with Russia’.
Russia does not acknowledge its involvement in forcible takeover of Ukrainian enterprises though the facts testify to the contrary. Thus, Russian Vneshtorgservis has become ‘temporary administrator’ of ‘grabbed’ Ukrainian plants and ex-vice-governor of Irkutsk region of the Russian Federation Vladimir Pashkov – its CEO. He is also a president of the Fund of support for international humanitarian projects created in 2015. It is known that its funds are transferred via the accounts of NCI ‘Centre for International Settlements’ to support unrecognized “republics”. The list of enterprises controlled by “Vneshtorgservis” includes metallurgical plant “Donetsksteel”, Enakievo and Makeyevka metallurgical plants, Enakievo coking plant, Yasinevki coking plant, Makeyevka coking plant, Khartsizsk pipe manufacturer plant.
At that it is obvious – nationalized enterprises will not be able to perform foreign economic activity under the umbrella of the DPR or the LPR as any state or foreign company entering into an agreement for raw material supply or end product purchase would in effect become an accomplice of terrorists. The only state which will support the occupied territories is Russia which was the real initiator of ‘nationalisation.’
Moscow’s tactics concerning Ukraine is quite clear – ‘worse is better’. Russia’s aim in Donbas is permanent destabilization of the situation in all directions – political, economic and humanitarian. Russia’s clumsy attempts to dissociate itself from the crimes of its puppets, particularly from forcible takeover of the enterprises, deceive no one. Presence of Russian troops in Donetsk and Lugansk regions of Ukraine, recognition of DPR and LPR passports, circulation of Russian currency within occupied territories testify to actual annexation of these territories.
Today the only state delivering raw materials to nationalized enterprises in Donetsk and Lugansk regions and purchasing manufactured goods is Russia. Therefore, those who purchase Russian-made goods shall be particularly attentive and examine thoroughly supporting documentation as for the origin of goods to avoid problems with law. Contracts, concluded earlier, with ‘nationalized’ enterprises have lost their legitimacy both de facto and de jure. Ukrainian competent authorities trace movement of goods from the uncontrolled territories to have a possibility to submit the evidence of the caused damage.
In such a situation entrepreneurs who nevertheless dare to have any economic relations with Russia which is in effect international raider, may only be advised to stay vigilant and be highly cautious to avoid disagreeable situations.