Yaroslav Abramov, the Counsel of Corporate Law, M & A Department of International Law Firm Integrites took part in the roundtable discussion "Echo of Cyprus’ regarding the crisis influence of the Cypriot banking system on Ukrainian business: the protection of depositors’ rights: international and Ukrainian practice."
In order to discuss one of the most burning issue for business, the return of Cyprus banks deposits, the experts of the market brought together, including: Yaroslav Abramov, Anna Makarenko, Head of Product Management Department PJSC “Bank of Cyprus”, Oleg Ustenko, Executive Director of the Blazer International Fund, Yuriy Polonev, the director of the department for statistics, analysis and prediction at the National Bank of Ukraine (NBU), Natalia Ivanenko, the director of the department for regulatory and methodological support of banking regulation and supervision at the NBU, Arthur Zagorodnikov, Deputy Chairman of the Management Board, Member of Management Board, Valeriy Chernyi, the Member of the Public Council under the Ministry of Finance of Ukraine, Alexander Okhrimenko, the President of the Ukrainian analytical center.
In his speech, Mr. Abramov outlined the risks and possible loss for Ukrainian business, whose accounts were concentrated in Cyprus. Among the main consequences: the application of penalties for the presence of debit indebtedness in foreign currency under the foreign trade contracts for over 90 days and fines from contractors for violations of the calculation procedure. Moreover, drawing analogy between the level of bank deposits in Cyprus and Ukraine Yaroslav noted in speech that the repetition of the Cyprus scenario in Ukraine is unlikely to happen. Also, Mr. Abramov considered a number of foreign jurisdictions as possible alternatives to Cyprus, explaining that "... in such circumstances business is not interested to return the money to Cyprus, and will look for a replacement of the offshore jurisdiction. Among the states, which can be a shelter for local capital instead Cyprus are the following: Austria, Montenegro, the USA, the Netherlands, etc. "(see information agency Svobodnaya pressa of March 29th).
The possibility of repetition of the Cyprus scenario in Ukraine was appreciated by Yaroslav Abramov, the Counsel of Corporate Law, M & A Department for TV channels 24 and BTB