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Ukrainian League of Industrialists and Entrepreneurs
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Officially

The Statute

The Statute

of the all-Ukrainian non-governmental organization

Ukrainian League of Industrialists and Entrepreneurs

ARTICLE 1

GENERAL PROVISIONS

1.1. The Ukrainian League of Industrialists and Entrepreneurs (hereinafter referred to as the ULIE) is an all-Ukrainian non-governmental nonprofit organization created in line with the law of Ukraine on public associations which unites Ukrainian citizens, foreigners and people without citizenship, including businessmen, personnel of enterprises, establishments and organizations, their associations and non-governmental organizations on the basis of their common interests built on voluntariness and equality.

1.2. The ULIE conducts its activities on the principles of democracy, openness, legality, voluntary joining and free withdrawal, equality of members, independence, transparency, self-government, clear distribution of powers between the ULIE management bodies and responsibility of the organization members for their commitments.

1.3. The ULIE carries out its activities in accordance with the Constitution of Ukraine, the law of Ukraine on public associations, the current legislation of Ukraine, the present Statute, Ukraine's international agreements in force and general principles of the international law.

1.4. The ULIE as well as its regional departments and branches conduct their activities independently from the state and local governments and other public associations, are not accountable or subordinate to them and do not allow interventions in their activities except for the cases explicitly envisaged by the current legislation of Ukraine.

During the implementation of its statutory tasks the ULIE cooperates with central and local government agencies, local governments and public associations.

1.5. The present Statute interprets the representation of ULIE members' interests as the implementation of a structured and balanced system of free of charge measures for the benefit and on behalf of an ULIE member in relations with the third parties, government agencies of all levels and locals governments, other non-governmental organizations without the need for extra powers and on the basis of the Statute recognition.

The Statute interprets protection as the implementation by the ULIE of all effective measures to assert the violated rights or legal interests of ULIE members.

The Statute interprets an interest as the willingness of ULIE members to use a specific tangible and/or intangible asset stemming from legal rights and constituting a separate object of juridical and other types of legal protection, for the satisfaction of individual and collective needs of ULIE members in line with the Constitution and laws of Ukraine, public interests, the notions of justice, fairness, reasonableness and generally recognized principles of law.

The present Statute interprets democracy as the organization members' ability to take part in activities of the ULIE management bodies and state and local governments, including the duty of the minority to comply with decisions of the majority.

The Statute interprets entrepreneurship as independent, proactive, regular economic activities carried out by market participants (entrepreneurs) at their own risk with the aim of achieving economic and social results and making profit.

The Statute interprets non-governmental organization as a union of citizens created for the satisfaction and protection of legal social, economic, creative, age-related, national and cultural, sports and other common interests of its members.

The Statute interprets dissolution of a regional department of the ULIE as the deprivation of a non-governmental organization of the ULIE local office status as described in Article 11 of the present Statute. Such an organization can continue its activities as an independent local non-governmental organization only after changing its name and statute in accordance with the current legislation of Ukraine.

ARTICLE 2

NAME AND LOCATION OF THE ULIE

2.1. The ULIE's Name

In Ukrainian: Всеукраїнська громадська організація «Український союз промисловців і підприємців»

Acronym in Ukrainian: УСПП

In Russian: Всеукраинская общественная организация «Украинский союз промышленников и предпринимателей»

Acronym in Russian: УСПП

In English: the Ukrainian League of Industrialists and Entrepreneurs

Acronym in English: the ULIE

2.2. The location of the ULIE: 34 Khreschatyk Street, Kyiv, 01001, Ukraine

ARTICLE 3

LEGAL STATUS OF THE ULIE

3.1. The ULIE is a legal entity according to the Ukrainian legislation. It has the status of an all-Ukrainian association of citizens and conducts its activities in the territory of Ukraine in line with the current legislation of Ukraine and the Statute.

3.2. The ULIE shall acquire the rights of a legal entity from the date of its state registration.

3.3. The ULIE has its own balance sheet, has the right to open accounts, including foreign currency accounts, at banking institutions.

3.4. For the implementation of its statutory tasks and mission the ULIE has the right to conduct economic and other commercial activities through the creation of self-financing institutions and organizations, establishment of enterprises with the status of legal entity.

3.5. The government, its agencies, establishments and organizations shall not be liable for the ULIE's commitments as well as the ULIE shall not be liable for the commitments of the government and its agencies, establishments, organizations, except for the cases explicitly envisaged by the current legislation of Ukraine and the present Statute.

3.6. The ULIE can voluntarily join other non-governmental organizations, their leagues (unions, associations, etc.) and international public (non-governmental) organizations, maintain direct international relations, enter into cooperation agreements.

3.7. The ULIE has its own seal, stamps, symbols, brands for goods and services. The emblem of the ULIE shall be depicted on its seal, forms, banners, pennants, signs, etc.

The emblem and other symbols of the ULIE as well as brands for its goods and services shall be registered in accordance with the current legislation of Ukraine.

3.8. The ULIE without a warrant shall represent and protect interests of its members at the state and local government agencies, enterprises, establishments and organizations of all forms of ownership as well as at courts of any level and competence.

ARTICLE 4

THE ULIE'S MISSION AND TASKS

4.1. The mission of the ULIE is the protection and representation of the organization members' legal interests.

4.2. The main tasks of the ULIE include:

- the development of the ULIE as a leader of the social entrepreneurship movement in Ukraine;

- the influence on the economic and social life in Ukraine;

- the elimination of obstacles to entrepreneurship, minimization of risks related to entrepreneurship and ensuring stable profit;

- the forming of deep and clear regulatory and legal framework for entrepreneurship based on the government's and its agencies' respect for honor and dignity of each Ukrainian citizen;

- the forming of positive attitude to entrepreneurship in the society;

- the support for the implementation of the government policy in the spheres of taxation and customs relations, agriculture and food, finance and justice, ecology and natural resources, economic development and trade, energy and coal industry, infrastructure, regional development, construction and housing and utility, regulation of interior and foreign affairs of Ukraine, defense, social policy, culture, education, science, sport and healthcare;

- the support for setting economically sound prices and tariffs in energy, transport, utilities and other spheres of Ukraine's economy;

- the assistance to ULIE members on the issues of quality and competitiveness of their products;

- the improvement of the security level in the sphere of entrepreneurship in Ukraine;

- the creation of new data bases and assistance to ULIE members to get access to the old ones;

- the prevention and settlement of conflicts between ULIE members;

- the preservation of property and corporate structures of ULIE members;

- the cooperation with international organizations and foreign citizens' unions whose goals and tasks coincide with the ones of the ULIE;

- the support for the development of entrepreneurship, including small- and medium-sized businesses, strengthening of their competitiveness on the international market.

4.3. For the implementation of the mission and tasks outlined in this Statute the ULIE shall do the following:

- coordinate actions of ULIE members, regional departments and branches, take measures to ensure that they fulfill the obligations undertaken under the Statute;

- act as a representative on behalf of industrialists and entrepreneurs while bringing the ULIE members' concerted position to the notice of the President of Ukraine, the Verkhovna Rada of Ukraine, the Cabinet of Ministers of Ukraine, and cooperate with state and local government agencies through the participation in boards and public councils, working groups, expert councils, interdepartmental commissions, etc., created to ensure the fulfillment of functions by relevant agencies, and in other forms in accordance with the current legislation of Ukraine;

- conduct information and organizational activities aimed at the distribution of information about the ULIE, its mission and statutory tasks, sharing the best entrepreneurship experience and contributing to the development of entrepreneurship in Ukraine;

- inform its members about events and initiatives of the ULIE and other unions of non-governmental organizations and business entities;

- elaborate a development strategy and tactics for the Ukrainian entrepreneurship movement;

- contribute to the forming of a non-governmental security system for business activity;

- render active support for innovative projects;

- draw up and promote draft laws and regulations on entrepreneurship in Ukraine;

- carry out public expertise of draft laws and regulations elaborated by outside enterprises, establishments, organizations and government agencies;

- influence on the forming of the Ukrainian education system taking into account entrepreneurs' demand with the aim of forming a personnel reserve and improvement of competitiveness of the Ukrainian economy;

- promote the intensification of cross-border cooperation;

- contribute to the extension of ULIE members' international contacts;

- provide free economic and legal consultations and assistance;

- create conditions for ULIE members' participation in business forums, conferences, national economic programs and projects;

- help ULIE members to find business partners;

- provide other non-governmental organizations with consulting, organizational and material support;

- promote the introduction and implementation of socially responsible businesses standards;

- organize at lower or government regulated prices roundtable discussions, seminars, exhibitions, presentations, conferences, forums, symposiums, colloquiums for ULIE members in order to promote the principles and ideas for the protection of which the ULIE was created and which are closely related to its main activities;

- regularly inform ULIE members about its activities;

- set up enterprises, institutions, organizations in line with the current legislation of Ukraine for the implementation of the ULIE mission and statutory tasks;

- spread among its member information about quality management, perfection and competitiveness.

ARTICLE 5

ULIE MEMBERSHIP

5.1. Membership in the ULIE can be individual and collective.

5.2. Ukrainian citizens, including businessmen, foreign citizens and people without citizenship that legally stay in the territory of Ukraine, aged 18 and older, who recognize the ULIE Statute, agree to fulfill its requirements, want to carry out the ULIE's mission and pay admission and membership fees can be individual members of the ULIE.

Employees of enterprises, establishments, organizations regardless of the form of ownership, subordination and location, non-governmental organizations and their associations, sectoral organizations of industrialists and entrepreneurs, other nonprofit organizations, including international ones, which decided to join the ULIE and pay admission and membership fees can be collective members of the ULIE.

5.3. The ULIE's regional departments shall accept members on the basis of an application from an individual or an application and a relevant resolution from a collective member and inform the ULIE Management Board about the admission of new members.

In exceptional cases the ULIE Management Board can accept new members nominated by one of its members with obligatory following informing of a relevant regional department of the ULIE.

The decision of a collective member on accession to the ULIE shall be documented in a resolution of a general meeting of employees, establishments and organizations, constituent conferences, meetings of shareholders, founders or members of companies, and in other forms in line with the current legislation of Ukraine.

5.4. Membership in the ULIE shall be confirmed by issuing a standard certificate and adding relevant information to the Unified Register of ULIE Members.

5.5. All members of the ULIE have equal rights in the settlement of any issues related to its activities, regardless of their status, property status, results of financial and economic activity and other characteristics.

5.6. Any member of the ULIE has the right to leave the ULIE, but not earlier than one month after informing about its intention the organization's Management Board which accepted it to the ULIE.

5.7. If a member leaves the ULIE, the property and funds submitted by it for ULIE activity, including admission and membership fees, shall not be returned to it.

5.8. A member can be expelled from the ULIE in the following cases:

- the member does not carry out or carries out improperly the Statute requirements;

- the member does not obey the decisions of ULIE management bodies;

- the member's actions or inactivity hinder the implementation of the mission and statutory tasks of the ULIE;

- the member lost contact with the ULIE;

- the member repeatedly fails to pay ULIE fees for the implementation of the statutory tasks.

Under such circumstances the issues related to property relations with the ULIE shall be settled in line with Clause 5.7. of the present Statute.

The body which decided to accept the member to the ULIE shall approve the decision on the expulsion of this member.

The ULIE Management Board shall consider the admission to the ULIE of a member nominated by the president of the ULIE.

Appeal against the expulsion from ULIE membership can be submitted to:

- the ULIE Management Board;

- the ULIE Congress;

- the Economic Court of Kyiv.

5.9. The ULIE shall not be liable for the commitments of its members as well as ULIE members shall not be liable for the commitments of the ULIE, except for the cases explicitly envisaged by the current legislation of Ukraine, the present Statute, decisions of the ULIE or separate agreements between the ULIE and its members.

ARTICLE 6

RIGHTS AND OBLIGATIONS OF ULIE MEMBERS

6.1. The members of the ULIE shall have the right:

- to take part in the activities of the ULIE management bodies;

- to vote and be elected to the ULIE management bodies;

- to take part in the discussion and determination of the priority directions of ULIE members' activities and in other events held by the ULIE;

- to appeal to the ULIE Management Board and get information on the results of the consideration of the appeal;

- to take part in the events and programs implemented by the ULIE;

- to publish their materials in the printed media of the ULIE;

- to submit proposals on awarding of ULIE members;

- to leave the ULIE according to the procedure and conditions outlined in the Statute.

6.2. The ULIE members shall be obliged:

- to stick to the Statute of the ULIE and carry out its requirements;

- to obey decisions of the ULIE management bodies;

- to fulfill the obligations they undertook timely and in full in line with the Statute requirements;

- not to take actions that may cause damage to the statute implementation or reputation of the ULIE or its separate members;

- to adhere to the generally recognized rules and norms of business ethics in relations with the ULIE and its members;

- to take part in the activities aimed at the implementation of the ULIE mission and tasks;

- to make a contribution within its powers to the activities and development of the ULIE according to the procedure envisaged by the Statute as well as provide the ULIE with necessary support;

- to take part in the work of ULIE bodies and commissions;

- to pay the admission and membership fees as well as fees for the implementation of statutory tasks according to the procedure determined by the ULIE Management Board.

ARTICLE 7

THE ULIE CONGRESS

7.1. The Congress is the top management body of the ULIE which is called by the Management Board once in five years or at the request of at least 1/2 of the ULIE's regional departments.

The Management Board shall announce the time, agenda and representation quota of delegates at the Congress not later than two months before the date of the Congress.

7.2. Delegates to the Congress are elected according to the procedure outlined in the statutory documents of the regional departments, branches, non-governmental and sectoral organizations that are members of the ULIE.

7.3. Each delegate has one vote during the settlement of issues by the Congress.

7.4. The Congress has the following exclusive competences:

- adoption and amendment of the Statute of the ULIE;

- outlining the priority directions of ULIE activity, approval of its long-term programs, plans and reports on their implementation;

- election of the president and members of the Management Board, credentials and auditing commissions;

- consideration and approval of reports from the Management Board, president, audit and credentials commissions of the ULIE as well as assessment of their activities;

- making decisions on reorganization or liquidation of the ULIE, appointing the liquidation commission, approval of the liquidation balance sheet.

The Congress can make decisions on any other issues related to the activities of the ULIE.

7.5. The issues on the adoption and amending of the ULIE Statute, liquidation of the ULIE, appointing of the liquidation commission and approval of the liquidation balance sheet are exclusive competences of the Congress and shall be settled by the majority of 3/4 votes of the delegates present at the Congress.

Decisions on other issues shall be taken by the simple majority of votes of those present at the Congress.

7.6. If necessary, the Congress can delegate a part of its powers to the ULIE Management Board.

7.7. The Congress shall be considered quorate if at least 2/3 of the elected delegates or their representatives are present.

7.8. An unscheduled Congress of the ULIE can be called by the ULIE Management Board or at the request of at least a half of the registered regional departments of the ULIE if this is required by the interests of the ULIE in general.

The Management Board shall announce the time, agenda and representation quota of delegates at the unscheduled Congress not later than one month before the date of the Congress.

7.9. The president of the ULIE chairs the ULIE Congress.

7.10. The Counting Board elected by the Congress shall count votes at the Congress of the ULIE. The president of the ULIE and members of the ULIE Management Board cannot be elected as members of the Counting Board.

7.11. Decisions of the Congress shall be documented in a protocol signed by the chairman of the Congress.

ARTICLE 8

THE ULIE MANAGEMENT BOARD

8.1. The Management Board, which is formed by the ULIE Congress for a term of five years, manages activities of the ULIE during the time between the Congress meetings.

The ULIE Management Board continues to work until the new Management Board membership is elected by the ULIE Congress.

8.2. The Management Board includes:

- one representative from each regional department and branch of the ULIE as well as from each non-governmental organization with the status of all-Ukrainian which is an ULIE member;

- the president, first vice president, vice presidents of the ULIE and executive director of the ULIE;

- one representative of ULIE members on which the Congress approved a relevant decision.

If a member left or was expelled from the ULIE, its representative's powers as an ULIE Management Board member shall be ceased automatically.

Representatives of regional departments, branches and members of the ULIE have the right to replace their representatives in the ULIE Management Board only in staggered order.

8.3. The Management Board carries out the following functions:

- elects and dismisses first vice president, vice presidents of the ULIE and executive director of the ULIE upon the recommendation of the president;

- ensures the implementation of the ULIE Congress decisions;

- forms and approves the membership of the ULIE Management Board Presidium;

- coordinates and directs activities of the ULIE Management Board Presidium and Apparatus;

- determines the priority directions of ULIE activities, approves current programs of the ULIE;

- determines the position of the ULIE on the key contemporary issues and submits relevant proposals to the Congress;

- coordinates work of regional departments, branches and members of the ULIE;

- makes decisions on the creation and dissolution of regional departments, branches of the ULIE, enterprises, companies, establishments, organizations, approves their statutes or provisions on them;

- can give a vote of no-confidence to a regional department head, which is a reason for calling an unscheduled meeting of the regional department's general meeting in order to decide whether this head's further chairmanship of the regional department is reasonable;

- approves early termination of powers of the ULIE president upon his resignation and appoints a member of the Management Board as acting president of the ULIE;

- suspends powers of Management Board members;

- adopts the rules, procedures, provisions on the ULIE Management Board Apparatus, other internal documents, determines and approves the organizational structure of the ULIE;

- approves the Provision on the Symbols of the ULIE;

- approves the budget of the ULIE, determines the minimum size of fees and the procedure for payment;

- forms commissions and other working bodies and approves the provision on them, hears reports on their activities;

- accepts new members to the ULIE and expels ULIE members according to the procedure and conditions outlined in the present Statute;

- takes decisions on the rotation of Management Board members;

- delegates ULIE representatives to public councils, consulting and advisory bodies under state and local government agencies, other establishments and organizations, including international ones.

8.4. The Management Board calls its meetings as the need arises.

Meetings of the Management Board shall be considered quorate if at least 2/3 of its members are present.

The Management Board takes its decisions by the majority of votes of its members present at the meeting. If a decision cannot be taken due to a draw, the vote of the ULIE president shall be decisive.

The Management Board's decisions shall be documented in protocols signed by the president of the ULIE.

8.5. The ULIE Management Board Presidium

The ULIE Management Board Presidium is formed on the basis of a separate decision of the ULIE Management Board. The ULIE Management Board determines the quantity of members, powers and functions of the Presidium.

The ULIE Management Board Presidium consists of the Management Board members, it is subordinate to and supervised by the Management Board. The president, first vice president, and vice presidents of the ULIE are members of the Presidium by virtue of their positions.

The Presidium calls meetings as the need arises. The meetings of the Presidium shall be considered quorate if at least 2/3 of its members are present. It takes decisions via open voting by the majority of votes of the Presidium members that are present at the meeting.

ARTICLE 9

PRESIDENT AND VICE PRESIDENTS OF THE ULIE

9.1. The president of the ULIE is the top official of the ULIE.

The president of the ULIE is elected by the Congress for five years, is subordinate to it and is personally liable for the fulfillment of the tasks and functions he or she undertook.

9.2. The president carries out the following functions:

- represents the ULIE at all establishments and organizations in Ukraine and outside it in accordance with the tasks and goal of its activities, without a warrant acts on behalf of the ULIE;

- manages the work of the ULIE and its Management Board and is personally liable for the fulfillment of the Congress decisions;

- manages the work of ULIE bodies (commissions, working groups of the ULIE, etc.), distributes functions between them;

- manages accounting, timely payment of taxes and submission of accounting and other reports in line with the current legislation of Ukraine;

- manages financial and economic activities, administers and manages the property of the ULIE, including financial assets, in line with the current legislation and the present Statute;

- takes measures to expand the spheres of activity and influence of the ULIE within the frames outlined by the Statute and the current legislation of Ukraine;

- calls the Management Board meetings, organizes the drawing up of materials and proposals for consideration by the Congress and Management Board;

- carries out operational management of ULIE activities, ensures the implementation of decisions, instructions, resolutions of the Congress and Management Board;

- submits proposals to the Management Board regarding the election or dismissal of the first vice president and vice presidents of the ULIE, distributes functions between them;

- concludes labor contracts with employees of the ULIE;

- signs agreements, contracts, including international ones;

- approves the samples of seal and stamps of the ULIE;

- decides on the assignment of awards and material aid;

- personally meets with ULIE members or their authorized representatives;

- takes decisions on other issues related to the activities of the ULIE that are not included in the exclusive competence of the Congress, Management Board or Management Board Presidium;

- approves the provision on business trips of employees of the ULIE Management Board Apparatus;

- approves the schedule of trips of the ULIE Management Board Apparatus employees to regional departments with the aim of rendering help in the implementation of statutory tasks.

9.3. In case of the absence of the president, the first vice president shall carry out his or her duties, and if the first vice president is absent, one of the vice presidents shall carry out his or her duties and a relevant decree shall be issued.

9.4. Vice presidents of the ULIE shall be appointed by the ULIE Management Board.

9.5. The number and powers of the ULIE vice presidents shall be determined by the ULIE Management Board in the staffing table and a relevant provision.

ARTICLE 10

The ULIE Management Board Apparatus

10.1. The ULIE Management Board Apparatus, the structure and form of work of which are determined by the provision, which as well as the maintenance expense budget shall be approved by the ULIE Management Board, is in charge of the implementation of the present-day tasks, settlement of the issues related to material, technical and information support for the main activities of the ULIE.

10.2. The first vice president of the ULIE heads the ULIE Management Board Apparatus by virtue of his or her position. If he or she is absent, one of the vice presidents shall carry out the duties of the ULIE Management Board Apparatus head and a relevant decree shall be issued.

10.3. Except for the tasks listed in Clause 1 of Article 10 of the ULIE Statute, the ULIE Management Board Apparatus shall do the following:

- ensure the fulfillment of the ULIE management bodies' decisions and register them;

- develop proposals to the Management Board on important contemporary socio-economic and national issues;

- submit proposals on the elaboration of draft laws and regulations, send them for consideration to relevant government agencies of Ukraine;

- draw up regulations, procedures, provisions on ULIE management bodies and other internal documents, the expense budget of the ULIE and the provisions on regional departments and branches of the ULIE for the approval by the Management Board;

- elaborate proposals on the establishment of ULIE print media and joining other non-governmental organizations or business entities for consideration by the ULIE Management Board.

10.4. The first vice president of the ULIE, as the head of the ULIE Management Board Apparatus, shall be subordinated to and controlled by the president and Management Board of the ULIE and personally liable for the fulfillment of his or her tasks and functions.

10.5. The ULIE executive director shall provide current operations and financing of the ULIE Management Board Apparatus.

10.6. The procedure of sending employees of the ULIE Management Board Apparatus to business trips and the size of daily and other payments shall be established in accordance with the provision on business trips of ULIE employees approved by a decree of the ULIE president.

ARTICLE 11

REGIONAL DEPARTMENTS OF THE ULIE

11.1. Regional departments of the ULIE are local offices of the Ukrainian League of Industrialists and Entrepreneurs created for the implementation of the goal and statutory tasks of the ULIE in line with the current legislation of Ukraine and the Statute.

The local offices form the basis for the organizing structure of the ULIE as an all-Ukrainian non-governmental organization and are created in the regions of Ukraine, the Autonomous Republic of Crimea and the cities of Kyiv and Sevastopol.

The ULIE Management Board obligatory approves and amends the statutes of the ULIE regional departments.

11.2. Regional departments and branches of the ULIE carry out their activities in accordance with the current legislation of Ukraine, the Statute of the ULIE and their own statutes.

The provisions of the present Statute concerning the goal, tasks and membership in the ULIE shall be included to the statutes of the ULIE regional departments.

11.3. The regional departments of the ULIE are legal entities with their own balance sheets, seals and stamps with the name of the ULIE and their own names, bank accounts and other details.

The ULIE regional departments' decisions to amend their statutes as well as the decision to dissolve the regional department shall be agreed with the ULIE Management Board.

11.4. Regional departments and branches of the ULIE can be created at the initiative of:

- the ULIE Management Board;

- Ukrainian citizens, non-governmental organizations that are registered in the territory of a relevant territorial and administrative unit, within which the regional department is to be created.

11.5. A regional department of the ULIE can be dissolved by the ULIE Management Board in the following cases:

- non-fulfillment or improper fulfillment of the Statute requirements;

- repeated failure to fulfill the ULIE management bodies' decisions;

- hindering to the implementation of the goal statutory tasks of the ULIE;

- repeated failure to pay ULIE fees for the implementation of the statutory tasks.

The procedure of reorganization and dissolution of a regional department shall be approved by the ULIE Management Board.

11.6. Regional departments are obliged to take part in the statutory activities of the ULIE and provide it with financial support in the amount envisaged by the budget approved by the ULIE Management Board;

11.7. Relations between ULIE management bodies, regional departments and branches are build on the principles of lawfulness, equality, transparency, self-government, democracy, compliance with the ULIE Statute, statutes of the ULIE regional departments, provisions on the ULIE branches as well as on the basis of their commitment to decisions by the ULIE's top management bodies.

Regional departments have the right to use symbols of the ULIE exclusively for the implementation of their statutory tasks.

Regional departments have the right to use the ULIE's brand for goods and services only after conclusion of a license agreement with the ULIE and its further registration in line with the current legislation.

Relevant employees of the ULIE Management Board Apparatus shall travel to regional departments of the ULIE in order to provide assistance in the implementation of statutory tasks. The ULIE president shall approve a schedule of such trips.

11.8. Regional departments and branches of the ULIE shall cooperate with state and local government agencies, enterprises, establishments and organizations of all forms of ownership.

11.9. Regional departments shall carry out the following functions:

- take part in the elaboration of state regional and sectoral projects aimed at the development of industries, infrastructure, local governments and entrepreneurship;

- encourage home and foreign investment in the development of industries and entrepreneurship in regions;

- implement joint projects for the creation of regional funds with the participation of domestic and foreign financial institutions;

- promote the joining and strengthening of technology, material and technical and intellectual potential, professional experience and other resources for the creation of necessary legal, economic, organizational conditions for the development of entrepreneurship in regions;

- conduct necessary economic activities through the setting up companies with the status of legal entity in line with the procedure envisaged by the current legislation;

- conduct legal activities aimed at the implementation of economic reform, development of foreign economic relations, search for foreign partners and investors, elaboration of draft laws and regulations on the development and protection of entrepreneurship;

- submit to the ULIE Management Board proposals on the assigning of awards and material aid;

- render material and financial support for the activities of the ULIE in line with the current legislation of Ukraine and the Statute.

11.10. Regional departments of the ULIE can create their branches and offices with obligatory informing of the ULIE Management Board about this.

11.11. General meeting (conference) is the top management body of regional departments.

11.12. Heads of regional departments have the following powers:

- management of current activities of regional departments;

- fulfillment of the decisions of the ULIE Congress, president, Management Board and general meetings (conferences) of regional departments;

- fulfillment of the goal and statutory tasks of the ULIE;

- settlement of other important issues related to the activities of regional departments in line with their statutes and which are not within competence of the general meeting (conference).

The heads of regional departments are subordinate to the general meeting of regional departments, the president and Management Board of the ULIE and are personally responsible for the fulfillment of their tasks and functions.

The heads of regional departments obtain a warranty from the ULIE president for individual representation of interests of the ULIE in the territory in which a relevant regional department operates.

The ULIE Management Board can express distrust to head of the ULIE regional department in the following cases:

- non-fulfillment or improper fulfillment of the Statute requirements;

- failure to fulfill the decisions of the ULIE management bodies or a relevant regional department of the ULIE;

- hindering the implementation of the goal and statutory tasks of the ULIE;

- repeated failure to pay ULIE fees for the implementation of the statutory tasks;

- the recall of the regional department head's warranty for representation of interests by the ULIE president.

11.13. In case of the dissolution of a regional department its head shall be automatically expelled from the ULIE Management Board.

ARTICLE 12

THE ULIE'S REPRESENTATIVE OFFICES

12.1. The representative offices of the Ukrainian League of Industrialists and Entrepreneurs are non-business entities created all over Ukraine and abroad, independent legal entities that are set up and dissolved by the decision of the ULIE Management Board according to the procedure envisaged by the current legislation of Ukraine and the Statute.

In the exceptional cases a legal entity can carry out the functions of the ULIE's representative office abroad if the ULIE Management Board agrees and if a relevant agreement on the representation of interests of the ULIE is concluded.

The ULIE's representative offices do not have fixed membership.

12.2. The ULIE representative offices are created with the aim of local representation of interests of the ULIE in relations with the third parties, government agencies of all levels and local governments, non-governmental organizations, business entities.

12.3. The ULIE representative offices shall annually transfer fees to the ULIE for the implementation of its statutory tasks. The size of the contributions shall be determined by the ULIE Management Board.

12.4. A full or partial failure to transfer the annual fee on the fulfillment of statutory tasks by an ULIE representative office can be a reason for its dissolution by the ULIE Management Board.

12.5. The ULIE representative offices can use symbols of the ULIE exclusively for the fulfillment of their representative functions. They can use the ULIE's brand for goods and services only after the conclusion of a relevant agreement with the ULIE.

12.6. The ULIE Auditing Commission shall audit the financial and economic activities of the regional departments and representative offices of the ULIE in the volume and order envisaged by the Statute and the current legislation of Ukraine.

ARTICLE 13

AUDITING AND CREDENTIALS COMMISSIONS

13.1. The ULIE Auditing Commission shall check the financial and economic activities of the ULIE, including the activities of its local offices, representative offices and its legal entities, and supervise the fulfillment of the ULIE Statute requirements and the implementation of the ULIE management bodies' decisions.

13.2. The Auditing Commission shall be elected by the ULIE Congress and shall be accountable to it. The ULIE Congress shall determine the number of the commission's members and its powers.

13.3. The Auditing Commission shall audit and supervise the fulfillment of the ULIE management bodies' decisions and report on the results of its checks to the Congress, Management Board and president of the ULIE.

13.4. The activities of the Auditing Commission shall be regulated by the provision approved by the Management Board.

13.5. The Credentials Commission shall be elected by the ULIE Congress and shall be accountable to it. The ULIE Congress shall determine the number and personal composition of its membership.

13.6. The Credentials Commission carries out the following functions:

- checks the powers of the ULIE Congress delegates;

- fulfills other functions determined by the Statute or specifically delegated by the Congress.

13.7. The Credentials Commission approves its decisions by a simple majority of votes of its members.

13.8. The heads of the credentials and auditing commissions, who are elected from the commission members by the simple majority of votes of the members of relevant commissions, manage the commissions' activities.

13.9. The decisions of the auditing and credentials commissions shall be documented in the protocols signed by the heads of relevant commissions and submitted to the president and Management Board of the ULIE for relevant response.

ARTICLE 14

PROPERTY AND FUNDS OF THE ULIE

14.1. The assets of the ULIE shall be its property.

14.2. The ULIE has the right to carry out any actions with regard to its property and enter into agreements in accordance with the current legislation of Ukraine.

14.3. For the fulfillment of its statutory tasks the ULIE shall exercise the rights of possession, use and administration of its property according to its purpose, act as a claimant and defendant in court.

14.4. The ULIE is liable for its commitments with the property it possesses, and penalties can be imposed on it in line with the current legislation.

14.5. The property of the ULIE belongs to it by the right of ownership. The ULIE can have in ownership movable and immovable assets, tangible and intangible assets, funds and other property purchased in line with the legislation.

14.6. The ULIE has the right to take any actions and enter into agreements with regard to its property in line with the current legislation, in particular provide financial and any other material, organizational, intellectual and other support to other nonprofit organizations which pursue the same goal as the ULIE.

14.7. The ULIE operates at its own funds. The sources of these funds are the following:

- admission and membership fees for the fulfillment of statutory tasks;

- funds or property obtained from the implementation of the main activities of the ULIE;

- passive incomes;

- transfers or subsidies obtained from the national or local budgets, national special-purpose funds or technical or charity, including humanitarian, aid except for the transfers for the regulation of prices of commercial services provided to the organization or with its help to their recipients in line with the legislation with the aim of making such prices lower;

- funds in the form of arbitration charges.

14.8. The ULIE can obtain in possession and use the property owned by its members on the conditions and under procedures established by relevant agreements between the ULIE and its members.

14.9. The ULIE uses its assets and funds for the implementation of its statutory tasks, including the ULIE Management Board Apparatus expenses within the frames of the budget. Payments to the employees of the ULIE are made according to Article 15 of the present Statute.

ARTICLE 15

EMPLOYEES OF THE ULIE

15.1. All issues related to the fulltime employees of the ULIE shall be regulated by the labor legislation of Ukraine, the Statute and the provisions on the ULIE Management Board Apparatus and Presidium.

15.2. The ULIE can involve separate experts for the fulfillment of one-time, additional tasks or tasks the fulfillment of which require special skills and knowledge.

15.3. A collective agreement shall be concluded in the ULIE in line with the law of Ukraine on collective agreements and contracts.

15.4. The ULIE shall create conditions for the improvement of professional level and qualification of employees.

ARTICLE 16

ARBITRATION PROVISIONS

16.1. The members of the ULIE shall comply with the generally recognized norms and rules of conduct and business ethics between each other as well as shall be obliged not to engage in actions that may cause harm to each other or damage the activities or reputation of the ULIE in general.

16.2. The members of the ULIE shall keep each other's commercial information sources confidential.

16.3. A member of the ULIE who committed unethical actions in relation to the ULIE or another member of the ULIE or violated the requirements of Clauses 6.2. and 16.2. of the present Statute or whose actions hindered the ULIE mission implementation shall be considered as the one that has failed to comply with the requirements and provisions of the Statute and can be expelled from the ULIE according to the procedure outlined in Clause 8 of Article 5 of the present Statute.

16.4. All controversies or conflicts between members of the ULIE shall be settled via negotiation involving authorized representatives of the ULIE.

16.5. If it is impossible to find a consensus, the controversy/conflict can be submitted for consideration to the permanent Court of Arbitration of the Ukrainian League of Industrialists and Entrepreneurs.

16.6. The activities of the ULIE Court of Arbitration shall be regulated by the provisions and regulations registered in line with the current legislation of Ukraine.

ARTICLE 17

PROCEDURES FOR LIQUIDATION OR REORGANIZATION OF THE ULIE

17.1. The ULIE can be liquidated in the following cases:

- under a decision by the ULIE Congress;

- under a court ruling.

17.2. In case of the liquidation of the ULIE, the Congress shall call a liquidation commission and appoint its head. If the ULIE is dissolved by a court ruling, the court shall appoint the liquidation commission.

5 reasons to join ULIE

  • ULIE members can take part in improvement of business regulatory and legal framework, as well as prevent the enactment of anti entrepreneurial standards and rules.
  • ULIE will help you to build relationships with banks, institutes, consulting companies for the development of your own business and to find the new perspective line of activity.
  • ULIE members are authorized to attend international business forums organized during visits of the President and the Prime Minister of Ukraine and participate in the activity of bilateral intergovernmental commissions.

  • ULIE has a corporate security, which helps to protect its members in case of controversies with partners, bureaucratic pressure and lawlessness.
  • ULIE gives you an opportunity to feel the atmosphere of responsible business, to realize the need of your company to make a positive social and environmental influence.