NACP sent an order to the Chair of Naftogaz Supervisory Board to terminate the illegal contract with the CEO of the company

01.07.2021
NACP sent an order to the Chair of Naftogaz Supervisory Board to terminate the illegal contract with the CEO of the company
On July 1, the National Agency on Corruption Prevention(NACP) issued an order to Clare Spottiswoode, Chair of the Supervisory Board of NJSC Naftogaz of Ukraine. The NAСP order requires terminating the contract № 1 with the Naftogaz CEO as this contract is illegal according to the Law of Ukraine “On Corruption Prevention” (Part 2, Art. 26). The NACP issued an order after the Cabinet of Ministers of Ukraine (CMU) provided the explanation to the Kyiv District Administrative Court. In its explanations, the CMU stated that to terminate the contract of the Naftogaz CEO it is required that the company’s supervisory board issued a decision in this regard. Before that, on June 14, the NACP found violations in the activities of the former Deputy Minister of Energy of Ukraine, who currently holds the position of Naftogaz CEO. As a result, the NACP issued an order to the Cabinet of Ministers to eliminate the violation. The Law of Ukraine “On Corruption Prevention” claims that after dismissal from public service during one year a person should not participate in the management of organizations that he or she could influence when working for the state. This restriction applies regardless of how long a person has held the position prior to the dismissal. While working in the Ministry of Energy, the former Deputy Minister systematically participated in the development of decisions on the activities of Naftogaz. Therefore, his appointment to the position of CEO of this company violates the law. Generally, no orders are required to comply with the law and terminate the contract with Naftogaz CEO. However, when the law is not enforced, the NACP is obliged to respond to such violations. “The NACP's only goal in this matter is to ensure the rule of law. We are convinced that the citizens of Ukraine are interested in making Ukrainian laws work in practice, and not just “on paper”, - said the Head of the NACP Oleksandr Novikov.
NACP sent an order to the Chair of Naftogaz Supervisory Board to terminate the illegal contract with the CEO of the company

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