Bill. Problems bill circulation in Ukraine
Bill - a security evidencing single bond debtor (the maker) to pay a certain period after the set amount of money to the owner notes (note holder).
In Ukraine, the paper circulation is regulated by the following legislation:
> The Law of Ukraine "On Securities and the Stock Market" dated 23 February 2006.
> The Law of Ukraine "On Ukraine's Accession to the Geneva Convention of 1930," which introduced "Uniform Act on Bills of Exchange and Promissory Notes" on July 6, 1999.
> Presidential Decree of 14 September 1994 № 530/94 "On the issuance of promissory notes to cover the mutual debt of businesses in Ukraine."
> Presidential Decree of 26 July 1995 "On the extension of the circulation of bills."
> Resolution of the Board of the National Bank of Ukraine dated 28.05.92001, № 403 "On approval of the clearing houses for the presentation of bills for payment"
> Resolution of the Board of the National Bank of Ukraine dated 16.12.2002 № 508 "On Approval of the Procedure of banks' operations with the bills in local currency in the Ukraine"
> Resolution of the Board of the National Bank of Ukraine as of 28.05.99, № 258 "On approval of the banks' operations with the bills." "The situation on the operations of banks with bills.", Reg. № 653 of 01.06.99, the
In Ukraine, there are two types of bills:
1) simple, 2) conversion (draft).
A promissory note is a debt security that contains a simple, unconditional promise maker pay a certain amount at a certain time.
A bill - it is a debt security containing an unconditional written order to the lender, addressed to the debtor, that the last payment is made on demand or at a date specified in the bill, a sum of money to a person or to the order of the latter, or the bearer of the bill.
The main problems of bill circulation in Ukraine:
1) general economic crisis drawer has tried to pay the bill, not in money, and commodities;
2) often bills and refuse to do, so you need to know very well and the procedures presenting bills for payment and protest;
3) The arbitral tribunal may not always protect the rights of a drawer, if he committed gross negligence;
4) business integrity is not at the highest level.
In the development of market relations and more dynamic domestic economy bill again in the spotlight for a number of reasons:
First, it is inherently a security, which allows to solve many difficult economic and financial issues;
Second, commercial banks and business organizations have already gained some experience in conducting business transactions with bills;
Third, the bill was considered by the Government of Ukraine as one of the principal means of mutual debts out of payments crisis;
Fourth, given the significant number of regulations governing the issuance and use of bills of exchange, it can be argued that Ukraine is already created optimally necessary legal framework for this. It requires very detailed improvements and additions, including the terms of its agreement with the law. In Ukraine, according to the legislation: use instrument, and perform the drawer, acceptor, endorser and guarantor only legal entities - entrepreneurs who are recognized as such in accordance with the law;
Notes may only be issued to pay for the delivered goods, works and services rendered, except for bills of the Ministry of Finance, the National Bank of Ukraine and commercial banks;
draft form can be filled in and printed hard copy;
payment amount must be indicated on the bill numbers and words;
promissory note signed by the manager and the chief accountant of the legal entity and make a seal.
Bill is a handy financial tool used primarily to provide short - and medium-term commercial loans, as well as for the calculation itself is a form of bill requires mandatory strict compliance of all specific formal characteristics of bills as a security.
Now the bill will take some fairly broad segment of the Ukrainian stock market.