Business in Ukraine EN masse complains about the officials

Ukrainian businessmen suffer from the tyranny of the local authorities. According to the Council of the business Ombudsman, the number of complaints Ukrainian business to the local authorities for the last quarter of 2016, compared with the previous, has increased by more than 40%. In addition, entrepreneurs unhappy and low competencies of regional officials, writes UBR.

Most of the statements made by Ukrainian entrepreneurs were associated with the provision of administrative services, the management of local property, the succession of the functions transferred to the Central authorities as well as local land issues.

Most Ukrainian businesses were dissatisfied with the actions of tax authorities (nearly half of all appeals), law enforcement agencies — 19%, legislative initiatives, and actions gasregulating services — 8%.

As said the business Ombudsman of Ukraine Algirdas Shemet, local authorities are often guilty of the violations due to giving them more powers. In addition, there are problems in the legislation regarding the establishment of the new unified territorial community, which indicates some of the risks for reform.

According to the Executive Director of the European business Association Anna Derevyanko, the problems in the relationship with the state machine in almost all the same — small, medium, and large businesses. Entrepreneurs still dissatisfied with the poor quality service, corruption, excessive regulation and bureaucratization. The only difference is the scale of the financial and time losses that are faced by small, medium and large businesses.

“The large companies, unlike small businesses, there’s more legal resource to resolve certain issues. But the losses they incur large from illegal actions of state bodies. They have more capital and staff,” said Derevianko.

Pay fines Scam

Very often, the business faces and with the regulatory authorities. And entrepreneurs often don’t realize what came to them. There are instances when a state Agency under scrutiny for corruption and “under the hand” also fall, for example, a company engaged in the procurement of certain equipment or product.

Bypass the inspection bodies and the moratorium on business inspections, finding ways to penetrate the enterprise, experts say. “Nothing prevents to start a criminal investigation for money laundering, supporting terrorism, or simply say that the company a bomb, and to access any room to bypass the ban. And, if necessary, is to freeze the activities of a business at the time of trial,” — said the head of the Association of small and medium businesses Kiev Ruslan Sable.

Frequent inspection of the state Commission on industrial relations, which is not subject to the moratorium. Often these are scams. Under the guise of employees Gastrula, they are coming to the enterprise and receive from entrepreneurs on 10 – 15 thousand UAH “penalties” for certain violations.

Most now suffer from checks sellers of alcohol and tobacco. Despite the fact that the Supreme economic court reversed the decision of the city Council to ban the sale of alcohol in Kiosks, stalls continues to be safely demolished or taken away to an impound lot where to pick them up entrepreneurs can not under any pretext. “Least of all now suffering the sellers of lotteries, children’s goods, grocery stores, and they began to be afraid,” says Sobol.

Unite and organize demonstrations

Last year, the two entrepreneurs could not get permission to install the kiosks. At best, they prolong the lease of the existing Kiosks. There are difficulties also with the closure Popov (PE, physical persons-entrepreneurs).

“Now close the FOP, which is more than five years is almost impossible. The tax require documents and information, which many have long gone. I’m not talking about the queues in state institutions. In most cases, reach out to officials does not work,” adds Ruslan Sable.

On the other hand, says Derevyanko, entrepreneurs have become more conscious and aware about their rights. They started to unite and are more eager to defend their interests.

“Yes, there are those who choose the path of pickets, overlapping of roads, etc. But has become much more than those who do not want to pay bribes and seeking justice in the courts. But there are some issues that, for example, without legislative changes to tackle simply will not work”, — said Derevianko.