Protecting your business from interference by law enforcement agencies: risk analysis and preventive measures

In today's business environment, entrepreneurial activity is like walking on thin ice – risks arise constantly, and not all of them can be predicted. One of the most serious challenges is the intervention of law enforcement agencies in economic activity, which can have significant negative consequences for a company. This is the topic of an article by Alexander Shevtsov, head of criminal practice at Riyako&Partners Law Firm.

Key risks for business

The lawyer points out that current legislation allows law enforcement agencies to initiate pre-trial investigations without prior checks. A statement or report of a probable crime is sufficient to open criminal proceedings. From that moment on, law enforcement agencies have the right to conduct investigative actions, including

1. Covert investigative (search) actions – wiretapping, visual surveillance, access to electronic correspondence and messengers, seizure of postal items, etc.
2. Searches and seizure of property – law enforcement agencies can conduct searches in company offices, production facilities or even residential premises.
3. Seizure of assets – seizure and freezing of company accounts.
4. Interrogation of management and employees – summonses for interrogation can create additional pressure on the company and its staff.

The most common criminal offences against businesses

Among the articles of the Criminal Code of Ukraine that most often become the basis for law enforcement intervention in business activities, the following are highlighted:

1. Fraud – illegal appropriation of another person's property or rights to it through deception or abuse of trust (Article 190 of the Criminal Code of Ukraine).
2. Appropriation, embezzlement or acquisition of another person's property through abuse of official position (Article 191 of the Criminal Code of Ukraine).
3. Evasion of taxes, fees (mandatory payments) (Article 212 of the Criminal Code of Ukraine).
4. Legalisation (laundering) of property obtained by criminal means (Article 209 of the Criminal Code of Ukraine).
5. Collaboration (Article 111-1 of the Criminal Code of Ukraine).
6. Aiding an aggressor state (Article 111-2 of the Criminal Code of Ukraine).
7. Obstruction of the lawful activities of the Armed Forces of Ukraine (Article 114-1 of the Criminal Code of Ukraine).

How to protect your business from pressure from law enforcement agencies?

To minimise the risks of interference in the activities of the enterprise, it is important to develop a preventive strategy. Key measures:

1. Legal audit – checking company documents and internal processes for compliance with legislation.
2. Staff training – conducting training on how to act during inspections and searches.
3. Cooperation with a lawyer – providing legal support in the event of investigative actions.
4. Transparent financial activities – compliance with tax legislation and clear accounting.

How to properly prepare for a search, how to act during it, and what additional security measures can protect your business – read the full version of the article by lawyer Alexander Shevtsov at the link here.