The assets of the State Railway Administration (Ukrzaliznytsia) that remain in the annexed Crimea and the parts of the Donbas that are not controlled by Ukraine will be included in the authorized capital of Ukrainska Zaliznytsia, the joint-stock company that will be created in the process of corporatization of Ukrzaliznytsia. Yevhen Kravtsov, the director of reform, property, and legal policy at Ukrzaliznytsia, announced this in an interview with the Interfax Ukraine news agency.
According to Kravtsov, the Cabinet of Ministers has adopted a separate resolution in order to assess the value of these assets.
"Realizing that the appraiser is unable to fulfill all his tasks in this matter because it does not have full access to these assets, provision was made for a different procedure. It stipulates that the book values of the assets located in these areas should be taken into account and that they should be included in the authorized capital of the joint-stock company based on their book values," he said.
According to Kravtsov, after Ukraine gains access to these territories and Ukrzaliznytsia consequently gains access to its assets, the assets will be appraised and the authorized capital increased accordingly.
"Definitely, these are assets of Ukrainian railways and they belong to Ukraine as state property. Legally, we are not relinquishing ownership of these properties. They are ours and we are declaring this publicly," said Kravtsov.
The corporatization of Ukrzaliznytsia is in its final stage, and the creation of the Ukrainska Zaliznytsia joint-stock company is scheduled for autumn this year.
The Deloitte audit firm recently said that it had completed the process of appraising the assets of Ukrzaliznytsia.
