Who are affiliated persons?

The term "affiliated persons" began to spread actively in our country. This word is used in the vocabulary of English. Its appearance in Russia is connected with the continuous process of development of economic relations in the international arena, that is, enterprises conclude more and more contracts and agreements with foreign partners.

So, affiliated persons are a concept that implies a specific list of legal entities and individuals capable of exerting a certain influence on other economic entities that conduct entrepreneurial activities. The current legislation states that when these persons purchase shares of a company, they are obliged within 10 days to provide their JSC with a written notice indicating their number. Otherwise, the affiliated persons must transfer to the company the amount of monetary funds in the amount of compensation damages. The enterprise shall keep records of such owners and report to the established inspection bodies.

There is a certain list of affiliated persons of a legal organization. First of all, they include members of the management team, as well as employees who temporarily replace the head of the executive body. The list of such persons automatically includes the owners of shares, the specific share of which exceeds 20% of the total number, as well as the citizens who have invested in the statutory fund of the enterprise. Separately, it is worth highlighting those legal companies that are part of the financial and industrial group. In this case, the affiliated person will be considered a member of the management unit, for example, the board of directors or the executive body.

The concept of "affiliated persons" is convenient in that it has a specific property. That is, it does not just represent a group of persons, but also automatically assigns certain powers to them. In the list of such persons of an individual entrepreneur, it is possible to include those citizens to which the individual belongs to the group , as well as a legal organization in which the individual entrepreneur has the pre-emptive right to dispose of shares in excess of 20%.

I would like to note that the presence of an affiliated connection between the subjects presupposes the presence of personal dependence in the sphere of managerial activity, and the property relationship of persons acts as a consequence of personal relationships. Modern legislation clearly stated the requirements that affiliated persons must fulfill. The incident is that non-compliance with established responsibilities is not punishable by law, that is, there is practically no liability. This means that individuals can, at their own discretion, decide whether to comply with the rules recommended by the government, and at the same time have absolutely no fear of committing an unlawful act.

To make lists of affiliated persons is considered necessary and even forced measure. This is explained by the fact that the list is considered a documentary justification for the authority of the person making transactions with counterparties. And if the documentation is completed correctly, then the degree of trust on the part of other economic entities is much higher.

Based on all of the above, it can be concluded that the introduction of the term "affiliated" is more than rational. After all, it fully discloses the meaning of relations between persons affiliated with affiliated relations. In addition, due to legislative criteria, it is possible to identify a certain list of persons and positions that automatically fall into the list.