State Reacquisition at Discounted Rates: Almaty Publishing House Rebuilt under Public Ownership
In a significant move, the privatization of the Almaty-based publishing company, JSC "Baspalar uyi," has been declared invalid due to multiple procedural and legal violations. The transaction, which took place in 2016 when the company was under the Ministry of Culture and Sports, was found to be in breach of Kazakhstan's privatization law framework.
The privatization process was marred by a disregard for established legal procedures, compromised transparency, undervaluation, and procedural irregularities. These violations collectively rendered the privatization unlawful and subject to annulment or review by authorities or courts.
Key reasons for the invalidation include non-compliance with legal procedures, lack of transparency and fairness, improper valuation, conflict of interest and corruption concerns, and violations of ownership rights and stakeholder interests. Specific violations involved failure to conduct open auctions or tenders, manipulation or falsification of documentation, absence of proper approvals and oversight, ignoring objections or claims from interested parties, and breach of procedural deadlines.
The prosecutor's office of Almaty has reported the return of 100% of the shares of JSC "Baspalar uyi" to the state, worth 2.6 billion tenge. However, no information is provided about the identity of the private individual who privatized the company in 2016 or any potential legal consequences they may face. Similarly, no information is available about any potential legal consequences for the Ministry of Culture and Sports for their role in the privatization.
This instance serves as a reminder of the importance of adhering to legal procedures and maintaining transparency in privatization processes. The annulment of the JSC "Baspalar uyi" privatization is a significant step towards ensuring the protection of state property interests and upholding the integrity of Kazakhstan's privatization process.
The invalidation of JSC "Baspalar uyi's" privatization highlights the necessity of maintaining transparency and following legal procedures in business and finance, which are crucial components of general-news and politics. This case underscores the potential implications when such procedures are disregarded, as it involved improper valuation, conflict of interest, and violations of ownership rights, ultimately leading to the annulment of the privatization.
