The blocking of the securities auction of Motor Sich and the searches on it can do damage to Ukrainian and foreign investors, the National Securities and Stock Market Commission informs on its official website.

Reportedly, such events became possible due to the old legislation in the sphere of investors’ rights protection.

“The current legislation does not provide for the honest, just and transparent system, which would protect the investors’ rights. For more than 20 years, Ukraine was standing still, not creating any viable mechanisms and tools of protection either for Ukrainian, or foreign investors”, Head of NSSMC Timur Khromaev reported.

He noted the necessity of creating the mechanisms, which would help to determine the investors’ money fraud and timely counter it.

NSSMC adds that the necessary changes were developed long ago together with IMF experts; however, the parliament still did not approve the respective draft law.

Due to searches in Motor Sich, the company was unable to conduct the shareholders’ meeting. The reason was the blocking of provision of shareholder’s list on the part of the National Depositary.

It should be reminded that on Monday, the State Security Service conducted searches in Motor Sich in Zaporizhzhya. The searches were conducted due to the suspicion of preparation of the sabotage.

The owner of 14.99% shares of the enterprise Vyacheslav Boguslaev previously told how the plant works on the occupied territory.

In July 2017, the searches were conducted on the plant due to embezzlements.

Motor Sich is the enterprise in Zaporizhzhya, which develops, manufactures, repairs and maintains aviation gas turbine engines for airplanes and helicopters as well as industrial gas turbine units.