November 10, 2024 marked 9 years since the adoption of the Law “On the National Agency of Ukraine for finding, tracing and management of assets derived from corruption and other crimes”. During this period, the Asset Recovery and Management Agency (ARMA) has gone through a difficult path of formation and development, and over the past year has demonstrated significant positive changes in its activities.

Since the second half of 2023, after the appointment of new management following an independent competition, ARMA has begun a systemic transformation of its activities. The Agency has significantly strengthened its institutional capacity and significantly improved its performance indicators in managing seized assets. Key results:

Process reforms:

• The Unified State Register of Seized Assets was opened.
• The sale of seized assets was introduced exclusively through Prozorro.Prodazhi
• Open competitions for asset managers on the Prozorro platform were introduced
• The Agency's staff was renewed by 80%.
• Procedure for the sale of seized assets abroad developed and approved

Transparency and digitalization:

• Mechanisms for improving the EDRAA have been developed
• In early 2025, the updated Register is scheduled to be launched with expanded functionality, including information on foreign currency domestic government bonds, special procedures for the transfer of assets, appraisers and international agreements

Financial indicators:

In 2024, ARMA brought more than 2.1 billion UAH to the state budget from the management of seized assets, cash and asset sales

Another 10 billion UAH in equivalent is the portfolio of seized funds managed by the ARMA, which work to support the country's defense capability and economy under martial law (almost 8 billion UAH was spent on the purchase of War Bonds, including 31 million USD and 6.5 million EUR)

For comparison, in 2018-2023, the state received only 213.6 million UAH from asset management, including 34.8 million UAH in 2022.

International activities:

International cooperation has been expanded. In 2024, 5 international interagency agreements were signed with foreign colleagues, and up to 20 draft international agreements are in the process of preparation. Signed with the authorities of the following countries: Bosnia and Herzegovina, Malta, Kazakhstan, Moldova, and Romania. No such agreement has been signed before. In progress: the United States, France, Belgium, Albania, Libya, the United Kingdom, Poland, and others

Regular meetings with ARMA's counterparts abroad to exchange experience and best practices in asset management.

ARMA represents Ukraine at the highest international platforms: CARIN, BAMIN, bilateral EU-Ukraine meetings, Conference of the Parties to the UN Convention against Corruption, etc.

High-profile cases:

Sakhalin field: thanks to ARMA's persistence, the state budget received 748 million UAH from the gas production manager in 2024.

The yacht “Royal Romance” of Viktor Medvedchuk, a high-profile traitor. The ARMA became the temporary owner, flying the Ukrainian flag over the vessel. The process of sale is ongoing. The legalization of the Ukrainian court decision in Croatia and the start of the MLA procedure by the Prosecutor General Office are expected.

The ARMA has returned the seized funds in the amount of almost 244 million UAH to LLC "Aeroc", which was nationalized and owned by the state represented by the State Property Fund of Ukraine. The amount of accrued interest for the period of the Agency's management of the company's seized funds is more than 47 million UAH, which was used to restore economic activity, pay wages, and pay taxes.

Legislative initiatives:

• Amendments to legislation have been prepared in line with the Ukraine Facility Plan
• ARMA's initiatives to unblock the management of corporate rights in Russia and Belarus:
• Draft law: No. 6233 - in 2023 (did not receive the required number of votes of MPs)
• Draft law: No. 11280-1 - supported by the agency (did not receive the required number of votes of MPs)
• Draft law: No. 8184 - not included in the agenda

The current draft law is No. 10069, developed by ARMA and submitted by the Government to the Verkhovna Rada of Ukraine. ARMA has already sent official letters requesting that the approval of the draft law be recognized as urgent.

ARMA continues to improve its work and plans further reforms to improve the efficiency of managing seized assets and ensure that they work for the state. The next steps include voluntary testing/evaluation of all ARMA employees, approval of legislative initiatives necessary to strengthen the asset management area, and modernization of the Seized Asset Register.