#4 April 2018

In focus – Asset Tracing

Evidence of unexplained wealth used to be a second nature in emerging markets. And Ukraine is definitely a very illustrative example of different schemes and multijurisdictional pyramids. It still remains to be seen whether electronic declarations will change the situation somewhat. We’ve got used to media stories when family members and relatives of a broad range of officials expectedly turned out to possess big assets.

Expert Opinion

Tracing and Following Assets — the Location and Identification of Stolen Assets in English Law

Adam Greaves

This article is a summary overview of the intricate, and frequently overlapping, common law and equitable rules relevant to claimants in complex civil fraud claims for identifying and pursuing claims arising from consequential sophisticated money laundering operations which follow the original act of fraud.

In Re

Asset Tracing: a Tool, not a Goal

Nickolas Likhachov, Olga Pygol

Asset tracing is very popular now, but it still gives rise to many questions. Amid the most recent trends and Ukrainian realities, both the business sector and government are increasingly interested in the engagement of asset tracing companies. Our practice shows that these services are mostly sought by banks.

Setting up the Puzzle — Tracing Funds Dissipated From Banks

Volodymyr Yaremko, Vladlena Lavrushyna

Once your claim is confirmed by the court or an arbitral tribunal, how do you turn it into cash? It is quite rare that court judgements or arbitral awards are performed voluntarily in Ukraine. Enforcement is a part of debt recovery, which is often, actually, the beginning, and far from the end, of chasing the debtor.

Piercing the Corporate Veil in Ukrainian Companies: not a Mirage

Taras Dumych

When considering setting up or acquiring a company, a businessperson or an investor usually views this step as creating something separate from the founder or the acquirer. By holding a separate entity, one also envisages not just the separate personality of the company from its shareholder, whether the latter is an individual or another company, but also a separate liability shield between the company’s liability and the liability of its shareholder. This perception is rightly based on the universal legal concept of a company’s separate personality.



AVELLUM advised Ministry of Finance of Ukraine

Asters advised General Electric

JSC Lekhim buys out shares of minority shareholders in PJSC Technolog

AVELLUM acted as the Ukrainian legal counsel to ING Bank

Victoria Gardens shopping mall changes owner



Stockholm arbitration satisfied Naftogaz demands to Gazprom

Court says Khreshchatyk Bank bankruptcy illegal

High Court of London ordered Kolomoisky and Bogolyubov structures to provide details on transactions involving Privatbank



Draft Law on Supreme Anti-Corruption Court adopted in first reading

Code of Ukraine on Bankruptcy Procedures

Reform in the field of dumping and trade investigations

Draft Law on tax on withdrawn capital presented


Law digest

National Bank eases administrative restrictions

Pharmacies activities to be inspected




Sanctions imposed on four banks


Google prohibited cryptocurrency advertising


EU updated blacklist of tax havens

Ukraine and Netherlands agree double taxation avoidance deal

Trade Policy

USA imposed duties on steel and aluminum


Amazon buys startup Ring

Oil and gas

Well drilling started under UkrGasVydobuvannya order


Chamber News

Business community met with President of Ukraine and Prime Minister of Ukraine

On 12 March 400 representatives of Ukraine’s business community from 3 business associations — American Chamber of Commerce in Ukraine, European Business Association, and Ukrainian Entrepreneurs Union — met with President of Ukraine Petro Poroshenko, Prime Minister of Ukraine Volodymyr Groysman and Ukrainian state authorities. The meeting was devoted to discussing progress on reforms, recent legislative initiatives on exit capital tax and the Draft Law
On Currency.

Cover Story

Detailed Strategy

Throughout the past year there has been a steady trend of debt recovery cases which are accompanied by criminal proceedings. As a result, asset tracing is very important to white collar investigations, particular in so-called money driven crimes.

As our fruitful conversation with partners of AVER LEX Attorneys at Law, Vitaliy Serdyuk and Artem Drozdov revealed, asset tracing and recovery is very painstaking and precise work that needs both strategic thinking and attention to detail. We asked them to go through the existing methods, gaps in the law, obstacles in the system, recent attempts to improve the process.

Global Legal Update

French Anti-Corruption Law Sapin II: Challenges for French Companies Operating in Ukraine

Dmytro Anufriiev, Viktoria Samoilenko

A significant number of companies operating in Ukraine are closely monitoring their compliance with international anti-corruption legislation, as violation of this legislation can bring not only reputational damage but also significant fines.

Until recently, FCPA (Foreign Corrupt Practices Act) and UKBA (United Kingdom Bribery Act) were the most significant acts prohibiting corruption abroad.


Legal Digest

The previous month was notable for a number of legislative initiatives, among which are cancelation of the requirement for in-depth analysis of financial operations of subsidiaries and affiliated companies-residents of international corporations from the list of Forbes Global 2000; extension of options to repatriate dividends on corporate rights and shares accrued for 2017 for foreign investors; approving a new prudential standard for Ukrainian banks — Liquidity Coverage Ratio; suspension of tax bills registration and calculations of adjustments in the Unified Register. Our team also remembered to ask experts about suggested draft lawsOn Bankruptcy Procedures No.8060; On the High Anti-Corruption Court No.7440; On Amendments to the Tax Code of Ukraine Regarding Tax on the Withdrawn Capital and others.


The Ukrainian Journal of Business Law

Subscribe to The Ukrainian Journal of Business Law right now and enjoy the most relevant issues on doing business in Ukraine on your device or in print.

All this for just USD 9.99 a month.


Subscribe now