| JRL HOME | SUPPORT | SUBSCRIBE | RESEARCH & ANALYTICAL SUPPLEMENT | |
Old Saint Basil's Cathedral in MoscowJohnson's Russia List title and scenes of Saint Petersburg
Excerpts from the JRL E-Mail Community :: Founded and Edited by David Johnson
#26 - JRL 2008-107 - JRL Home
Duma To Pass Anti-raiding Laws Soon - Shuvalov

MOSCOW. May 30 (Interfax) - The State Duma will pass a package of anti-raiding amendments to the Russian legislation in the near future, said Russian Deputy Prime Minister Igor Shuvalov.

"We understand that property rights are not properly protected at present. We are preparing to adopt a package of laws providing protection from illegal unfriendly takeovers, the so-called anti-raiding legislation. It is ready and will be passed by the State Duma in the near future," Shuvalov said at a conference organized by the National Council on Corporate Governance in Moscow on Friday.

In addition, Shuvalov said the government intends to propose amendments that will require managers and boards to be tougher when protecting the interest of their companies, not only shareholders.

"We have many examples of shareholders who have their own interests manifest these interests through corporate procedures," said Shuvalov.

"As far as I am concerned, I will back such changes. Tough rules need to be introduced to make the entire management and boards work to ensure companies' development," said Shuvalov, adding that consultations with businessmen on this matter will be held in the near future.

The announcement of the new legislative initiative coincided with the accelerating conflict in the oil company TNK-BP, whose co-owners are accusing each other of having their managers act in the interests of the shareholders that delegate them to the detriment of the business. Similar situations in a number of companies have resulted in a division of assets between former Interros partners Vladimir Potatin and Mikhail Prokhorov.