{"id":48020,"date":"2025-04-28T15:01:14","date_gmt":"2025-04-28T15:01:14","guid":{"rendered":"https:\/\/my.legal500.com\/developments\/?post_type=press_releases&p=48020"},"modified":"2025-04-28T15:02:17","modified_gmt":"2025-04-28T15:02:17","slug":"discussion-with-semen-khanin-we-can-only-change-the-country-when-we-are-ready-to-change-ourselves","status":"publish","type":"press_releases","link":"https:\/\/my.legal500.com\/developments\/press-releases\/discussion-with-semen-khanin-we-can-only-change-the-country-when-we-are-ready-to-change-ourselves\/","title":{"rendered":"Discussion with Semen Khanin: \u201cWe Can Only Change the Country When We Are Ready to Change Ourselves\u201d"},"content":{"rendered":"

In a recent discussion, Semen Khanin, a recognized expert in banking, finance, white-collar crime, and anti-corruption law, shared a candid analysis of Ukraine’s ongoing reform efforts and the persistent systemic challenges that threaten true transformation.<\/strong><\/p>\n

<\/p>\n

Key Points:<\/strong><\/p>\n

Why does no reform have the expected effect?<\/em><\/strong><\/p>\n

\u201cBecause these are not reforms, but imitation,\u201d explains Khanin.<\/p>\n

\u201cWe change something, adopt new laws, create new bodies, but the system itself remains unchanged. And if you try to ‘defeat’ corruption while keeping the corrupt mechanisms intact, you\u2019re only making corruption more expensive.\u201d<\/p>\n

Mr. Khanin points out that the problem lies not in the legislation itself, but in the state’s excessive interference in economic and social processes.<\/p>\n

\u201cWhere there is state control, there is corruption. Tax authorities, customs, public procurement \u2014 these systems create opportunities for abuse. Wherever the state assumes too many functions \u2014 road construction, service administration, business oversight \u2014 corruption risks inevitably arise. You don\u2019t need to look far: compare the state postal service to private logistics companies. One works efficiently, the other doesn\u2019t. Why? Because where there is real competition and private accountability, the system works. The same principle should be applied elsewhere \u2014 more functions need to be transferred to the private sector.\u201d<\/p>\n

Anti-Corruption Control and Business<\/em><\/strong><\/p>\n

\u201cBusiness and corruption are not allies, but victims of the system,\u201d says Mr. Khanin.<\/p>\n

\u201cNo entrepreneur wants to pay bribes. But when they cannot operate without doing so, when they are forced to play by such rules, they become part of the system. And the more we try to ‘strengthen anti-corruption control,’ the harder it becomes to run a business. Power changes, but the principles remain the same \u2014 the system itself creates conditions where corruption is nearly unavoidable.\u201d<\/p>\n

Judicial Independence: A Persistent Myth<\/h4>\n

\u201cLet\u2019s be honest: a judge is a human being like anyone else. When they\u2019re constantly under pressure or face the threat of criminal prosecution for their rulings, can we really speak of independence?\u201d Khanin emphasizes.
\n\u201cEvery government seeks to exert control over the judiciary and always finds new mechanisms to do so. If every new government makes it clear that ‘correct’ decisions can only be expected from loyal judges, what will be the behaviour of judges?
\nWill they risk everything for the sake of principle? Some might. But most will look for a compromise.
\nAs long as pressure on the judiciary persists, genuine independence will remain unattainable.\u201d<\/p>\n

Three Steps Toward Real Change<\/em><\/strong><\/p>\n

Semen Khanin identifies three critical priorities for achieving genuine reform:<\/p>\n

    \n
  1. \n
      \n
    1. Minimize government control where it is not needed.<\/strong>
      \n\u201cThe less regulation, the less corruption. Transfer some state functions to private hands.\u201d<\/li>\n
    2. Eliminate unnecessary regulations and bureaucratic barriers.<\/strong>
      \n\u201cReduce bureaucratic procedures that create grounds for bribery. Many procedures exist solely to generate opportunities for kickbacks. Fewer inspections and regulations mean fewer opportunities for corruption.\u201d<\/li>\n
    3. Implement real public control over governance and spending.<\/strong>
      \n\u201cTrue public control means involving citizens in actual decision-making processes, as practiced in Switzerland \u2014 not declarative participation, but real influence over how and where public funds are spent.\u201d<\/li>\n<\/ol>\n<\/li>\n<\/ol>\n

      \u00a0\u201cWe can only change the country when we are ready to change ourselves. No external pressure, donor support, or international monitoring will help until we stop tolerating corruption in everyday life \u2014 and start demanding accountability at every level.\u201d<\/strong>
      \n\u2014 Semen Khanin<\/em><\/p>\n

      Author:<\/strong> Semen Khanin, PhD in Economics, LLM, Managing Partner, AMBER Law Company, Attorney at Law, Honoured Lawyer of Ukraine, Associate Professor of the Department of Management, Marketing and Public Administration at the International Scientific and Technical University named after Academician Yury Bugay.<\/em><\/p>\n

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