Administrative and legal forms and methods of countering violations of public interests in the activities of institutional investors

Abstract

The article is devoted to the formation of scientifically based recommendations on the application of administrative and legal forms and methods of countering violations of public interests in the activities of institutional investors. The author separates the concepts of preventing violations and countering violations of public interests in the activities of institutional investors, indicating that the prevention of violations of public interests takes place when certain shortcomings or problems are identified in their work, which potentially carry a risk of violating the rights of citizen investors, but at a specific moment do not yet pose a threat of violation or are not a violation of public interests. In contrast to prevention, counteraction conditionally assumes the existence of a certain illegal action, as a result of which a situation arises when the interests of citizen-depositors and the institutional investor (his officials) do not coincide, and the private business or selfish interest of individuals begins to dominate over the public interest. According to the author, the system of countermeasures includes such forms of management activity as: issuance of normative legal acts, execution of legally significant actions, which are implemented through such methods as administrative supervision, administrative control, bringing to legal responsibility. Special laws define a number of measures that can be applied to institutional investors for violations, in particular, the suspension or cancellation of a license, the prohibition of the payment of dividends, an injunction and much more, which allows for the timely protection of public interests and the prevention of encroachment on public values, because criminal activity undermines the existing legal order of investment activities of institutional investors and in general the trust of citizen-investors in the state, in its ability to protect their values, entrusted to entities authorized by the state to preserve and multiply them.