Svyrydenko may be appointed Naftogaz head bypassing anti-corruption restrictions: what is known

Former Prime Minister Yuliya Svyrydenko may be appointed head of NJSC Naftogaz of Ukraine. According to RBC-Ukraine sources, the political decision has already been made, while the legal side of such an appointment could raise questions.

This is reported in an RBC-Ukraine article.

According to the publication’s sources, Svyrydenko could be appointed a member of Naftogaz’s board and simultaneously serve as acting chair of the company’s board. She would be able to become the full-fledged head of Naftogaz after a competition is held, which must be announced by the company’s supervisory board.

The main reason for the appointment is said to be the need to strengthen negotiations with international partners to secure additional funding for gas imports. One source noted that this is “more of a political appointment” aimed at conducting talks with partners and finding extra funds for Naftogaz.

At the same time, Svyrydenko’s appointment may involve legal nuances. Article 26 of the Law “On Prevention of Corruption” stipulates that former officials cannot hold senior positions in companies regarding which they previously made decisions for one year after leaving office.

While serving as Prime Minister, Svyrydenko participated in Cabinet of Ministers decisions concerning Naftogaz’s activities.

To justify the possibility of her appointment, changes to the company’s charter made in 2022 ahead of Oleksiy Chernyshov’s appointment as Naftogaz head are expected to be used. At that time, the provision defining the company’s legal status as a private-law legal entity was removed from the charter.

According to the article, this change formally allowed bypassing the one-year restriction on former officials taking up employment. The changes have not been reversed, so they could also be applied to Svyrydenko’s appointment.

At the same time, several corporate law experts consulted by RBC-Ukraine consider the possible appointment legally contentious.

In the experts’ view, if partners raise legal concerns over Svyrydenko’s appointment, it could affect her ability to raise funds for Naftogaz.