Acting Head of ARMA Maksymenko: The Main Goal of the Agency's Reform is to Strengthen Its Institutional Capacity

In a recent blitz interview with Interfax-Ukraine, Yaroslav Maksymenko, the acting head of the National Agency for Detection, Search and Management of Assets Obtained from Corruption and Other Crimes (ARMA), shared his insights regarding the importance of the Agency's reform. He elaborated on the results expected from both external and internal audits, highlighted notable cases currently under his purview, and addressed whether he feels any pressure in his role.

When asked about the stages of ARMA's reform, Maksymenko indicated that the development phase of the reform has been completed, and the Agency is now transitioning to the implementation stage. "Currently, we are in the process of institutional implementation. We have developed all the necessary regulatory acts and a new organizational structure for the reform of ARMA. Our task today is to implement the new processes defined by the regulatory acts, create a list of assets necessary for implementation, and the next step will be the implementation of recommendations from the international audit," he emphasized.

Maksymenko also noted that the law regarding the reform of ARMA is structured in such a way that all tenders that did not occur before January 30 are nullified. "All decisions are canceled, and all procedures start anew," he added. Currently, the Agency has formed a commission on complex assets, which includes representatives from ARMA, the business ombudsman, the Ministry of Justice, and the Ministry of Economy.

"Now we are expecting the module of the ProZorro system, which is supposed to ensure the technical implementation of tenders. The state enterprise 'ProZorro' has completed the development of this module, and the platforms are prepared, and we are now going to approve the management program," Maksymenko stated, underscoring that the primary objective of ARMA's reform is to enhance the institutional capacity of the Agency.

In response to a question about the assessment of the current effectiveness of the Agency's work, Maksymenko mentioned that he is frequently asked this question. "How do you calculate the efficiency coefficient of ARMA? If we take the economy of Ukraine, the GDP, for example, and how much of that GDP is being searched for in terms of assets, how much is returned, how much is managed, and how much is under ARMA's control?" he queried. According to him, ARMA has evaluated 89% of the assets transferred to the Agency for management. "If we talk about the results and the most challenging stage of this process, it was the identification of seized assets. This was necessary to finally obtain a complete understanding of the volume of assets under ARMA's management—their quantity and total value," he explained.

Maksymenko discussed the audit currently taking place at the Agency. "ARMA is undergoing four audits simultaneously, three of which are external. The first is an international audit, where international experts will assess the institution of ARMA, its tasks, and functions. From the perspective of institutional development, this is probably one of the most important processes for solidifying the institutionality of the body and its restructuring," he noted. Additionally, with the support of the Council of Europe, an international audit of the register of seized assets is being conducted. "The register of seized assets is a database of assets and information that has been and remains the subject of numerous discussions, manipulations, and abuses. The modernization of the register of seized assets was one of the measures envisaged by the ARMA reform for institutional rebooting," he added.

Maksymenko pointed out that the Agency had previously faced challenges in modernizing the Register and the legal peculiarities of its operation, assessing it in terms of public trust. "Ultimately, we turned to international partners for auditing and support in the modernization process, and we have now received such support. Currently, with the support of the Council of Europe, an audit is being conducted for the further modernization of information management regarding seized assets," he emphasized.

Furthermore, Maksymenko spoke about the international audit of the Ukraine Facility indicators, one of which focuses on the implementation and execution of the ARMA reform. "The second is precisely the selection of the head of ARMA, and the third is the development of an asset recovery strategy," he noted. The fourth audit is internal, conducted regularly within the Agency. "These are our internal audits that we carry out regularly. We currently have comprehensive and thorough control over all processes with a four-layer verification system," he added.

When asked about the interim results of the audits, Maksymenko responded that management decisions are made based on the results of the internal audit concerning rebooting, process building, and responding to risks identified during implementation. "This is daily work, and I would categorize it as operational management work," he underscored. Regarding the external audit, Maksymenko stated that building a system of comprehensive monitoring—from the search and detection of assets to their management—is very important. "Currently, these processes are occurring separately from one another. We have the function of searching and detecting assets, a management system, asset management, and realization," he explained.

"But in reality, the goal of ARMA is to implement measures aimed at detonation of the economy, when we return lost or withdrawn assets to the economy of Ukraine. And this process begins with searching, detecting, arresting, evaluating these assets for the possibility of management, and actually managing them in terms of preserving their economic value until the moment of confiscation or seizure for the state revenue," Maksymenko stated. He emphasized the need to build a system not based on quantitative indicators but on economic indicators of detecting withdrawn assets and their return from abroad. "And currently, we have assets that have been identified, are currently abroad, and we are taking measures for their return," he added.

In conclusion, Maksymenko discussed the most high-profile cases currently under his management. "We have the most high-profile cases that have significant social importance and considerable resonance—these include the 'Borzhava' case, the 'Medvedchuk Yachts' case, and the 'Morshynska' case. Regarding the 'Borzhava' case, we received information from law enforcement agencies, from NABU and DBR about signs of collusion in the tenders. And from NABU, we received information that coincides with the information obtained from our internal investigation regarding the connections of individuals in this case," he summarized.