MOSCOW, March 3. /TASS/. The Russian authorities will introduce external management at any enterprises which fail to fulfill their obligations under the state defense order in conditions of martial law.
The powers of shareholders and management of such business entities will be suspended. The relevant decree has been signed by President Vladimir Putin.
According to the document, if companies violate their obligations under defense contracts, including the supply of products, the rights of shareholders of such companies and the powers of their management bodies will be suspended "until martial law is lifted."
Based on the proposals of the Industry and Trade Ministry, a managing structure will be determined for the violating company, which will receive the powers of the executive body at the enterprise, as well as the powers of meetings of shareholders or the board of directors ("to the extent necessary to fulfill obligations under the state defense order.")
The Russian government was instructed "to form a working group under the collegium of the Military-Industrial Commission of the Russian Federation on the activities of business entities participating in the implementation of the state defense order during martial law," the decree says. This working group will evaluate the activities of companies participating in the state defense order and form "a position on issues related to the suspension of the rights of shareholders of such business entities." Based on the decisions of the working group, the Industry and Trade Ministry will issue relevant regulatory legal acts.
The government was also instructed to take necessary measures to protect the labor rights of employees at violating enterprises and protect government funds invested in these business entities.
Currently, martial law in Russia was introduced by presidential decree of October 19, 2022 in the territories of the People’s Republics of Donetsk and Lugansk, as well as the Zaporozhye and Kherson regions.