Determination Of Persons Related To The Bank As The Basis For The Use Of Coercive Measures Of Influence By The National Bank Of Ukraine

  • V.V. Krahlevych
Keywords: bank, determination of persons related to a bank, measures of influence, the National Bank of Ukraine, violation of banking legislation


In this article the author paid attention to state regulation of the banking system, in particular, to the determination the persons related to the bank by the National Bank of Ukraine.

The banking system cannot function effectively in the absence of proper and balanced government regulation. Therefore, the state applies various instruments for regulating relations in the sphere of banking activities. One of such instruments is the authority of the National Bank of Ukraine to determine persons related to the bank.

The decision to determine persons related to the bank may give rise to various consequences for such persons. In particular, a bail-in procedure can be applied on the basis of such decision. A bail-in is the procedure of exchanging funds of persons related to the bank for bank shares with their subsequent sale to the Ministry of Finance of Ukraine.

The author has conducted a detailed research and analysis of legislation and doctrine related to the influence of the NBU on legal relations in the banking sphere.

The author analysed the provisions of the Law of Ukraine “On Banks and Banking Activity”, the NBU Resolution “On Approval of the Regulation on the Application of Measures by the National Bank of Ukraine” No. 346 of August 17, 2012, and the Criminal Code of Ukraine. In addition, the author has analysed the case law.