By Anatoly LEMYSH, The Day
The dispute between the founder of Kyiv's Gala FM Radio Hlib Maliutin and
its investor Joseph Lemire (USA) has been settled amicably after three
years of lawsuits. Founded in 1994, Gala Radio split in 1996 because of
differences between the founder and the investor. Mr. Miliutin quit the
company and set up a new FM station, Leader. He also sued his former partner
for using his registered trademark.
This dispute reached the highest official echelons both in Ukraine and
the US; being cited repeatedly in the US Senate as an example of unreliable
investments in the Ukrainian economy and was also heard in the International
Court of Arbitration. Now it has been amicably settled well before the
Kyiv session of the Kuchma-Gore Commission: Mr. Maliutin received, as he
put it, "compensation that suits him." This happy ending of a three-year
confrontation should be an argument in favor of the capabilities of US
investments in Ukraine, and this should be its main legacy. However, as
Mr. Maliutin himself complained at the press conference, it is mainly the
lawyers who stood to gain from the suit.
According to Mr. Lemire, US investment in Gala Radio does not exceed
the statutory 30%. The Leader Television and Radio Company also hopes to
attract investment, but this time from Europe, and extend its broadcasting
network to a large part of Ukraine.







