OREANDA-NEWS. Belarus has prepared a bill to amend the law on state property privatization. The bill also adjusts regulations pertaining to state-owned enterprises getting reincorporated as open joint stock companies (OJSCs). The parliament is expected to consider the bill during the spring session.

The majority of amendments introduced by the bill aim to reinforce the government’s control over enterprises, in which the state used to have or still holds a stake.

The bill differentiates between OJSCs created on the basis of 1) former state-owned companies, 2) companies in which the government holds a 50% stake and a 100% stake, 3) companies with a state-owned stake under 50%, 4) privately-owned companies.

With regard to the first group of companies, the bill suggests giving up on supervision board and letting shareholders take decisions.

What concerns companies with a state-owned stake under 50%, the bill suggests establishing supervision boards and letting government representatives vote on behalf of minority shareholders to protect their interests.

With regard to OJSCs in which the government does not have a stake, the bill says that local administrations are free to appoint government representatives, who will vote on behalf of minority shareholders and will be able to veto decisions taken by the general meeting of shareholders.

The bill also specifies the scope of authority of appointed government representatives at OJSCs.

The document also specifies a procedure for the government to reclaim its stakes in OJSCs, which were established in violation of the law.