CRIMINAL PENALTY FOR ILLEGAL ENGAGEMENT AGAIN
On November 28, 2019, Law No. 263-IX came into force on the confiscation of the illegal assets of persons authorized to perform the functions of the state or local government.
Thus, the Law, in particular, supplemented the Criminal Code with the new Art. 368-5 “Illegal enrichment”, according to which the acquisition of a person authorized to perform the functions of the state or local self-government, assets whose value is more than six thousand five hundred tax-free minimum income exceeds its legal income (UAH 6 243 250), shall be punishable by imprisonment for a term of five to ten years, with deprivation of the right to hold certain posts or engage in certain activities for a term of up to three years.
Assets – cash (including cash, funds held in bank accounts or deposited with banks or other financial institutions), other property, property rights, intangible assets, including cryptocurrency, volume of financial liabilities decrease, as well as works or services provided to a person authorized to perform the functions of state or local government.
The legitimate income of a person should be understood to mean the income legitimately received by a person from lawful sources, in particular as defined in paragraphs 7 and 8 of Part 1 of Art. 46 of the Law on Prevention of Corruption.
In determining the difference between the value of the assets acquired and the legitimate income, the assets that are the subject of proceedings for the recognition of the assets as unfounded and their recovery into government revenue, as well as the assets collected in the government’s income in the course of such proceedings are not taken into account.
Cases of recognition of unfounded assets and their recovery into the state’s income are considered by the High Anti-Corruption Court with three judges.
Officials of local self-government, except officials mentioned in part 2 of this article, who are held liable for corruption offenses or in respect of which the court decision on recognition of their assets or assets acquired on their behalf by other persons or in other stipulated by Art. . 290 of the Code of Civil Procedure, unjustified cases and their collection into the state income are subject to dismissal in accordance with the procedure established by the Law on Local Self-Government in Ukraine.
Representation of the interests of the state in court in cases of recognition of unjustified assets and their recovery in the state revenue is carried out by prosecutors of the Specialized Anti-Corruption Prosecutor’s Office, and in cases determined by law – by prosecutors of the Office of the Prosecutor General.
Author: Andrey Kubov