Entrepreneurs Cold-shouldered

On the night of December 4, representatives of seventy Kyiv’s business and grassroots organizations picketed the Kyiv City Hall and City Council, where the Day of Self-government celebrations were in full swing. The pickets were virtually netting city deputies to hand them their open letter. In part, the letter reads that the small businesses development program for 2003-2004 endorsed by the Kyiv Council in late November does not provide for public oversight of its implementation and, just like the two previous programs, “is designed to achieve a somewhat different goal.” The money earmarked under the program will go toward financing businesses directly subordinated to the Kyiv City Administration, while their impact on the development of small businesses in Kyiv “is insignificant.” The entrepreneurs suggested that Kyiv Council deputies refrain from financing the small businesses development program “to save budget funds and prevent their embezzlement” and said they would be better advised to give the money to children and the elderly and control their spending.

Heorhy Shutochkin, head of the association supporting the Avtoservis company, shared the entrepreneurs’ grievances with The Day. “We are protesting the actions of Kyiv’s legislature which endorsed the small businesses development program in violation of all legal procedures,” said Mr. Shutochkin. Moreover, as he put it, what angered the Kyiv businessmen most was the cynicism of the authorities. According to him, while the entrepreneurs were heatedly debating this program and drafting proposals to make it more effective in the Kyiv Administration conference hall, the Kyiv Council presidium voted to endorse it. As he put it, UAH 20-30 million allegedly earmarked for the development of small businesses has been distributed without consideration for the entrepreneurs’ opinion. “We are protesting similar arbitrary decisions in an attempt to make the authorities listen to what we have to say and invite them to a dialog. In the future, we do not rule out the probability of lawsuits. There has been a spate of lawsuits against decisions by regulatory bodies and I think there is more to come. Entrepreneurs must unite and jointly address these issues,” said the association head.

Lalita Kartoziya, head of Trade Union, an all-Ukrainian association of workers of commerce and household services, who is credited with being a leading landownership expert, told The Day that Kyiv’s small businesses are alarmed at the authorities’ plans to clear all kiosks from the streets by 2005. “I don’t know whether it’s good or bad for Kyivans and city guests. But one thing is certain. It is against the law. You cannot seize property without a court ruling,” said Ms. Kartoziya. However, one of the pickets, Head of the Public Opinion Polls Center Oleksandr Suldin knew better than to freeze in the cold. Without difficulty he made his way into the City Hall where he met with Mayor Oleksandr Omelchenko, personally handed him the entrepreneurs’ letter, and discussed this matter in a friendly atmosphere. According to him, the mayor was tolerant and reassured him. As Mr. Omelchenko put it, “We know about this problem and listen to what the entrepreneurs have to say. We know about your concerns from Mr. Heorhiyevsky, Kyiv Council deputy and representative of the State Committee on Entrepreneurship. We will study your letter and let you know what we think in the near future.” To quote Mr. Suldin, “This is a common response of all officials. We’ll wait and see how they react to our appeal.”