On October 14, 2014 the National Commission on Securities and Stock Market (hereinafter, the NCSSM)  approved the "Regulation Establishing the Signs of Fictitious Issuers of Securities and Including  such Issuers in the List of Issuers with Signs of Fictitiousness."4

The NCSSM has established clear criteria to identify signs of fictitiousness of issuers. A market  participant that has such signs may be put on the Offenders List. The List is an open base  accessible to the public, which will register information about issuers that fail to comply or  deliberately violate the established current leg- islation.

The List will be compiled, maintained and amended by the NCSSM in electronic form and published on  its Website. An issuer may be excluded from the List, if it submits documents confirming the  elimination/ absence of signs of fictitiousness to the regulator. Information about issuers will be  entered into or deleted absence of signs of fictitiousness to the regulator. Information about issuers will be entered into  or deleted from the relevant base on the basis of a joint decision of the State Fiscal Service of Ukraine and  the NCSSM.

The signs of fictitiousness include in particular the following:

  • an issuer if absent at its registered address;
  • an issuer does not provide regular updates to the NCSSM;
  • a joint stock company does not convoke general shareholders’ meetings for two years in a row,  etc.  

The document has already been approved by the Ministry of Finance of Ukraine and the State  Fiscal Service The document has already been approved by the Ministry of Finance of Ukraine and the Sta of Ukraine and will soon be sent to the Ministry of Justice of Ukraine for state registration.