In 2018, 984 thousand legal entities were penalized under administrative law: this means every fourth legal entity registered in Uniform State Register of Legal Entities, as Inc.Russia reported with a reference to the business ombudsman Boris Titov.
This figure has doubled since 2015: 400 thousand legal entities were fined then. According to Titov, the number of inspections has been reduced by 42%, however, these are the inspections controlled by the Prosecutor’s Office.
“The number of other types of inspections is growing, but they are not controlled by the Prosecutor’s Office and are virtually not taken into account in statistics. These are monitoring inspections, Administrative Code investigations, and so on”, as the business ombudsman notes. At the same time, the amount of fines paid for violations is growing: Titov stresses that this is “a good addition to the budget”, but “not the most efficient way to normalize business activity”.
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Author: Anna Dorozhkina