Ukraine might create a new state agency with expanded powers to replace the state-run Ukroboronprom Concern, according to Deputy Secretary of the National Security and Defense Council of Ukraine, Serhiy Kryvonos.
According to him, the adoption of the bill on reforming Ukroboronprom will help reduce corruption risks in the defense industry, Kryvonos said. The official recalled that a round table meeting chaired by NSDC Secretary Oleksandr Turchynov had been recently held with the participation of people’s deputies and defense experts, where a bill was discussed on depriving Ukroboronprom of state governance-related functions.
Kryvonos reminded that Ukroboronprom had been founded on the initiative of ex-President Viktor Yanukovych “simply to control all financial flows that went through the defense companies”. Therefore, the official notes, the draft law submitted to Parliament aims at “destroying the old management system at Ukroboronprom”. At the same time, defense companies, which are now part of the Concern and able to work effectively and transparently, will remain in place. According to him, a separate state body with expanded powers will be created to replace Ukroboronprom and to take under control the companies that are now part of the defense giant.
“The new bill will eliminate a very large number of existing “mediating” firms,” the deputy secretary of the NSDC said, adding that the legislation also provided for a higher level of transparency of the state defense order. (UNIAN/Business World Magazine)