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Department of Treasury of Russian Federation has prepared a federal draft law “On amendments to the federal law “On limited liability companies” concerning the procedure of profit distribution”. This measure is aimed at increasing the amount paid, but it may lead to the breach of the creditors interests.
DATE: February 7, 2014 | AUTHOR: atlawyers
The draft law amends to the rules of profit distribution to the LLC shareholders. Particularly, it is offered not only make such payments from net profit of the company. Conformable innovations have been earlier suggested regarding stock companies. This measure is aimed at increasing the amount paid in case that profit is small. The draftsmen also ensure growth of revenues from state-owned companies. As negative consequences are indicated the possibility of breach of the creditors interests, as in the case of depreciation of their investments, they risk being left without reasonable compensation.