Wąsik: Draft amendment to the so-called Sanctions Act passed by the government today

The law on special solutions to counteract aggression against Ukraine made it possible to impose sanctions on persons and entities on a special list of the Ministry of Internal Affairs and Administration. It contains a list of individuals or entities who support Russian aggression in Ukraine or human rights violations and repression in Russia and Belarus.

Draft amendment to the so-called of the sanctions law was passed by the government today – Maciej Wąsik, deputy head of the Ministry of Interior and Administration, informed the Sejm on Tuesday. He added that the change is the introduction of mandatory administration, whose task will be to prepare entities subject to sanctions for sale.

During Tuesday’s meeting, the government discussed, among other things, an amendment to the so-called sanctions act. The proposed amendments provide for the creation of the possibility to issue temporary injunctions for companies subject to sanctions. There will also be instruments that offer financial support to employees of such companies.

Maciej Wąsik, deputy head of the Ministry of the Interior and Administration, who will participate in Tuesday’s session of the Parliamentary Administration and the Interior Committee, said the government is aware that entering into the sanctions list will affect owners, but also for employees.

“We have analyzed the cases that have occurred. In consultation with the Prime Minister, we have prepared a draft law, which was adopted today by the Council of Ministers,” said Wąsik. He added that in the new regulation the government wants to introduce an instrument of mandatory governance, which would allow the sanctioned entities to continue their activities.

“The purpose of the mandatory administration is to prepare these entities for sale. The Polish law says that this sale can be made in consultation, with the consent of the owners. If there is no authorization, the court can prevent the sale of such entities” , said the deputy head of the Ministry of the Interior and Administration.

He added that the amendment included a provision stating that the companies managed and founded by employees of this entity would have the pre-emptive right. He noted that if the company will consist of more than 50 percent. employees of this company, it will be able to buy them from the mandatory administration.

“The current law gives the possibility of exemptions for, for example, payment for employees, but it may happen that these funds are not available, or that there are no funds. They are subject to sanctions,” said Wąsik.

“We also see the need that in exceptional cases, if required by the interest of the state, it will be possible to expropriate the current owner for compensation. The constitution allows such an instrument” – said Wąsik.

The law on special solutions to counteract aggression against Ukraine made it possible to impose sanctions on persons and entities on a special list of the Ministry of Internal Affairs and Administration. It contains a list of individuals or entities who support Russian aggression in Ukraine or human rights violations and repression in Russia and Belarus.

On Tuesday, the government passed a draft amendment to this law, which provides two main solutions. One of these is the supplementation of the regulations with the imposition of a temporary administrative coercion on entities whose financial, assets and economic resources have been frozen in order to sell them or transfer them to the Treasury. It also adds a tool that will provide support to employees of companies subject to sanctions.

The sanctions list was published at the end of April. Currently there are 49 items on it: 15 people and 34 companies. These include Kaspersky Lab, Novatek Green Energy, PAO Gazprom and the founder of ALFA Bank, Russia’s largest private bank, Mikhail Fridman. The sanctions applied include, inter alia, freezing of funds and economic resources, exclusion from the public tender or competition procedure, and in the case of persons who are also entered on the list of foreigners whose residence on the territory of the Republic of Poland is undesirable.

Polish sanctions complement EU solutions. They must not duplicate restrictions that apply to individuals and entities throughout the European Union. For example, in June, the company KAMAZ and Aleksandra Melniczenko were removed from the Polish list after being subject to the same sanctions within the EU. (DAD)

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