Baranivskiy convinced Bread of Ukraine management runs Company without taking into account State interests
26.06.2006 10:22 "Agro Perspectiva" (Kyiv) —
As to Ministry of Agrarian Policy press-service, Oleksandr Baranivskiy, Acting Minister of Agrarian Policy, has declared State-owned Joint Stock Company Bread of Ukraine is managed without any definite target/with no State interests being considered. «As far as these questions are concerned, no definite guidelines have been given to those bodies which, due to Ukrainian legislation, should execute functions of State-owned shares packages control,» stressed Baranivskiy. As to press-service, Bread of Ukraine management has committed a number of illegal actions. Thus, Bread of Ukraine/some of its subsidiaries have breached Ukrainian Law «About Bringing Into State Property of Objects Which are not Subject to Privatization» by having alienated a number of companies put on list of objects not subject to privatization, what resulted in State having been inflicted considerable damage upon. Since Jul 2001 Bread of Ukraine had started illegitimate leasing out its subsidiaries property resulting in State having suffered further damages. As to Ministry of Agrarian Policy, in a number of cases Bread of Ukraine activity has been coordinated by commercial companies rather by State. Ministry of Agrarian Policy insists on Bread of Ukraine to be subordinated under Ministry control in order to normalize situation. As earlier reported, Jun 21 Serghiy Khoroshailov, State-owned Joint Stock Company Bread of Ukraine Chairman, had accused Oleksandr Baranivskiy of his being unwilling to turn Bread of Ukraine into active influential grain market participant/agrarian market State operator. Bread of Ukraine finished 2006 first quarter at UAH5,000 net profit; Company had ended 2005 at UAH22.998 mn loss. Cabinet had prohibited Bread of Ukraine to manage its property without Government consent. Company Bread of Ukraine was founded in 1996; presently Company incorporates 81 grain acceptance/storage system companies. Bread of Ukraine owns 2 port elevators (Odesskiy and Myckolayivskiy). Odesskiy port elevator grain storage capacity totals 100,000 MT (annual transshipment capacity — 1.5 mn MT); Myckolayivskiy port elevator grain storage capacity totals 69,000 MT (annual transshipment — 600,000 MT). Since end 1998 Company suffered financial problems due to having had got in big debts with petrol/gas companies while acting as agrarians fuel/fertilizers shipments intermediary.
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