OREANDA-NEWS. December 12, 2013. Came into force No.285-Federal Law “On Introducing Changes to the Code of the Russian Federation on Administrative Violations and Article 4 of the Federal Law “On Introducing Changes to the Federal Law “On Traffic Road Safety” and the Code of the Russian Federation on Administrative Violations” of 2nd November 2013.

Under the changes introduced to the Code on Administrative Violations, foreign investors that violated the law of the Russian Federation on foreign investors can be hold administratively liable within one year. Earlier this period was only two months.

“Introducing amendments to the Code on Administrative Violations is of enormous importance to us. The 2-month period of limitation did not allow us to fully use fines against the violators of the existing norms. I am convinced that the amendments that came into force will enable us to more efficiently exercise the functions assigned to FAS”, summed up the Head of FAS Department for Control over Foreign Investors, Armen Khanyan.

Reference:

Administrative liability for violating the law on foreign investments (Article 19.8.2. of the Code on Administrative Violations):

1. Failure to submit to a federal executive body authorized to exercise functions for control over foreign investments in the Russian Federation petitions provided for by the law on foreign investments in the Russian Federation that contain knowingly incorrect data, or violate the procedures and the deadlines for filing petitions specified by the law on foreign investments in the Russian Federation is punishable by an administrative fine upon citizens from 3000 to 5000 RUB; upon officials – from 30,000 to 50,000 RUB; upon legal entities – 500,000 RUB to one million RUB.

2. Failure to <…> notifications (information) provided for by the law on foreign investments in the Russian Federation, submitting notifications (information) that contain knowingly incorrect data, or breaching the procedures and the deadlines for submitting notifications (information) specified by the law on foreign investments in the Russian Federation is punishable by an administrative fine upon citizens from 2000 to 3000 RUB; upon officials – from 15,000 to 30,000 RUB; upon legal entities – 250,000 RUB to 500,000 RUB.

3. Failure to <…> data (information) provided for by the law on foreign investments in the Russian Federation, particularly, failure to submit data (information) upon a request of the above body except cases specified in Parts 1 and 2 of the Article, or submitting to the above body knowingly incorrect data information) is punishable by an administrative fine upon citizens from 3000 to 5000 RUB; upon officials – from 30,000 to 50,000 RUB; upon legal entities – 500,000 RUB to one million RUB.