Poroshenko`s legal advisors: creating offshore companies only way to transfer Roshen into ”blind trust”

Law firm Avellum, which had been engaged in the preparation of the Ukrainian president`s share in Roshen for the sale and transfer into the blind trust issued a statement, explaining why the offshore companies were established.
”To this end, [the transfer to the ”blind trust”], the relevant contracts have been signed, which empowered us, the ICU and foreign legal advisors to act in the future in order to transfer the asset into the blind trust  in full accordance with the Ukrainian legislation and the legislation of other countries,” said the statement.
To date, an agreement on the establishment of a blind trust  is signed.
”The creation of companies in foreign jurisdiction was the only possible way for the transfer of assets to the management of the authoritative international trust structure. Companies in foreign jurisdictions are necessary and are used to transfer them into the blind trust. These companies have not opened bank accounts, and they have performed no financial transactions. Therefore, any allegations of tax evasion are groundless,” Avellum said.
It also reported that the authorized funds of foreign companies were not paid, the shares belonging to Poroshenko had no nominal value, and therefore, they were not subject to declaration according to the Ukrainian legislation.
”Even after the transfer of assets into the blind trust, the recipient of payments will be a Ukrainian legal entity, not an offshore one. Therefore, all taxes will be paid in Ukraine, while the revenues will remain in Ukraine under the [country`s] legislation and banking regulations. Creating a foreign structure has no effect on the taxation of the companies of Roshen group in Ukraine, which continues to pay taxes according to the Ukrainian legislation,” said the president`s legal advisers.
As reported, according to the investigation of the Organized Crime and Corruption Reporting Project (OCCRP), which is based on documents from a Panamanian law firm Mossack Fonseca, Ukrainian President Petro Poroshenko created three offshore companies for management of assets, including a confectionery corporation Roshen, without giving any details about this move in his report to tax services.
In general, in the investigation elaborated on transactions and offshore schemes of 12 current and former presidents and more than 120 businessmen worldwide.

Avatar photo

UaPositon

An independent media focused on Ukraine.
Follow us on social media:
Facebook
Twitter
Instagram

Submit a Comment

Your email address will not be published.

Share This

Share this post with your friends!