The Head of Corporate Practice, the lawyer Artem Vasilyevich told Kommersant FM about the offer of the Ministry of Justice to limit minority shareholders’ right for access to information about the company.
“The Ministry of Justice offers to deprive the right of owners of less than 5% of the shares to request additional information from the Issuer”- writes the newspaper Vedomosti. And holders of service from 5% to 25% will have to justify their request. Now any shareholder may request the company information, except the minutes of the meetings of the Board and of the accounting documents. “But, shareholders abuse the right and ,therefore, it is worth to limit their rights”, believes the Head of Corporate Practice of the Pavlova&Partners law firm Artem Vasilevich.
“Recently owners of less than 1% of the shares request very often a big volume of information from the company. This makes it difficult for the entire legal department to operate as the legal department of the company shareholders is busy with no its direct duties, but with preparing documents for small shareholders having 0.01% of the shares. And small shareholders abuse this very often”, underlined Vasilevich.