Ukraine’s central bank, the National Bank of Ukraine (NBU) declared the business reputation of former President Petro Poroshenko flawed.
The NBU said its decision was based on sanctions imposed on Poroshenko by the Ukrainian government in February.
On Feb. 12, Poroshenko, who had served as Ukraine’s president from 2014 to 2019 and is the current leader of the opposition European Solidarity party, was sanctioned by the government and accused of treason.
The move concerns his role as a significant shareholder in the Joint Stock Company “International Investment Bank” (IIB).
“Since Petro Poroshenko is a qualifying shareholder in JSC ‘MIB,’ he is subject to business reputation requirements, which are monitored by the National Bank. The imposition of economic and other restrictive measures (sanctions) on him constitutes a direct basis for recognizing his business reputation as compromised,” the NBU wrote in a press release.
Ukraine’s central bank also said in its press release that the NBU staff’s statment was not subject to pressure from politicians.
“In light of the guarantees set forth in the Law on the National Bank, any influence on the decision-making powers of NBU officials within collegial bodies that falls outside the bounds of Ukrainian legislation constitutes a violation of this legal provision and must carry appropriate consequences,” the NBU wrote.
Poroshenko controls 64.98% of IIB shares through the investment fund Prime Assets Capital, in which he holds 100% ownership. Ukrainian law requires that a person with significant holdings in banks have an impeccable business reputation. NBU monitors individuals’ reputations continuously.
The review of Poroshenko’s case was conducted remotely via Zoom, in accordance with Ukraine’s Administrative Procedure Law. His representatives – lawyer Igor Holovan and IIB legal officer Oleksandr Hryshchenko – participated and had the opportunity to speak and comment, the NBU reported.
The NBU also stated that Poroshenko and his representatives were fully afforded the right to be heard during the open administrative proceedings.
Meanwhile, Poroshenko wrote on Facebook that his lawyer, as his legal representative, was removed from the livestream of the committee meeting.
Despite being told the meeting would be online, four MPs from European Solidarity – Nina Yuzhanina, Mykhailo Bondar, Artur Herasymov, and Rostyslav Pavlenko – showed up at the National Bank with Poroshenko’s lawyer Illia Novikov. They demanded to attend in person, the NBU wrote.
The NBU viewed these actions as an attempt to pressure its staff and disrupt the meeting. The bank said it may refer the matter to law enforcement agencies.
After the ruling, Poroshenko criticized the NBU on Facebook, arguing that the entire case was based on so-called “preventive” sanctions by President Volodymyr Zelensky.
“This means — no violations took place, but there are sanctions, so they no longer bother with business reputation,” Poroshenko wrote.
He called the National Bank’s decision “absurd.”