Essential court discussion isn’t appointed yet. Meanwhile, the jobless staff on the Agency asks the Parliament to tackle problems with salaries and dealing conditions.
The Agency members “were forcibly suspended.” Therefore, good 32nd item of the Labor Code (payment of salaries for forcibly suspended job), these workers should fully receive their due salaries. Moreover, whenever they attract the court, they’ll definitely win the case, Gocha Aleksandria, Deputy Chairman within the Trade Unions of Georgia, told the newspaper Banks&Finances.
“They need to be paid salaries despite the Constitutional Court’s decision on suspending the Financial Supervision Agency. The business members are forcibly delayed. In accordance with the Labor Code, workers must fully receive their salaries should they be forcibly suspended. The State owes them wages of various months. If these workers connect with the judge, they may definitely win the trial and we will assist them as appropriate,” Gocha Aleksandria said.
“The board members have sent correspondence on the Parliament Chairman of Georgia. The letter notes that in September 2015 the Parliament approved the board within the Financial Supervision Agency, the Board Chairman as well as the Agency head. The Agency started operation immediately and approved: 1) the agency statute; 2) employees list 3) organizational structure in the agency and 4) the 2015 budget on the agency.
In October, the constitutional court suspended commissions to the Agency board plus the Agency go to carrying our certain operations, however the officials remain authorized to continue implementing a variety of issues.
Consequently, the necessary working conditions for that Agency (a building for operation, computers, payroll budget etc), that’s to generally be ensured by the National Bank of Georgia (NBG) through the law, haven’t bee fulfilled yet.
The salaries to your Agency Board members aren’t determined either. “We require you to instruct the due committee to watch the police,” the Agency members demanded from David Usupashvili.
The agency representatives have met with representatives from the Parliament’s finance and budget committee. “Our main demand seriously isn’t associated with salaries. The Financial Supervision Agency demands due working conditions and monitoring of the police.
The constitutional court has suspended perhaps the commissions, but another a part of the commissions remain valid. We do not discuss this trouble. We demand that this authorities monitoring be conducted and due working conditions be created”, Irakli Kovzanadze noted and added the Agency representatives maintain their commissions, as they simply never have due building for assembly.
“They should receive due salaries. Other challenges must be examined by lawyers whether their demand conform to the constitutional court’s decision”, Tamaz Mechiauri said. Meanwhile, lawyers obtain a longer period to learn the case and decide to make statements later. During this period, they solely ensure that the agency members must be paid salaries.
However, the NBG rejects satisfying the board members’ demands. Allocation of subsidies to your financial supervision agency from your NBG budget might be illegal and ungrounded, because the NBG keeps executing the financial supervision functions.
“The National Bank was instructed again to supervise the finance sector. Consequently, in line with the existing legislation along with the constitutional court’s decision, the NBG continues executing the financial sector regulations. It really is important to note, in accordance with the staff list submitted through the agency board, the amount of the company office employees is always to increase by 67 persons in comparison to the current quantity of employees while in the NBG, who are answerable for supervising the finance sector. Together, good budget bill, the business wants to increase administrative expenditures by Tens of millions of GEL when compared to the existing budget”, the NBG statement reads.
The constitutional court of Georgia passed a call on suspension in the Financial Supervision Agency operation in October 2015. In accordance with the Constitutional Court’s statement, legal court plenum accepted an advantage of Georgian MPs (Zurab Abashidze, Giorgi Baramidze, David Bakradze and the like. Total of 39 MPs) with the Georgian Parliament. The plaintiff party argued against amendments to a volume of legislative acts, including into the Georgian organic law on National Bank. As reported, based on these amendments, the Financial Supervision Agency of Georgia was established as a legal entity of public law (LEPL) to complete the NBG functions for supervising the finance sector.
“Five men and women the plenum decided that before one further resolution with the issue, enactment within the disputable norms could shake the finance-bank sector of Georgia and convey irreversible outcomes to concrete bodies (participants of banking process, investors, depositors). Therefore, the constitutional court suspended the process of the financial supervision agency, before one last resolution from the issue, and the due functions were maintained for the National Bank”.
Under the legislation, the constitutional court must pass a choice in a 4-11 month period. Reported by Giorgi Gotsiridze, an attorney for any Association of Young Lawyers of Georgia (GYLA), the 22nd item of the Georgian law on Constitutional Court, reads which the appeal discussion period must not exceed 9 months additionally, the period can be extended for extra Two months. This signifies ultimate period is 11 months.
If so is recognised as a top priority one, then the Constitutional Court is allowed pass its final resolution within 4 months. For instance, in Summer of 2015, the Constitutional Court considered the situation of Gigi Ugulava being a priority one and passed the verdict in approximately monthly. Due to this fact, Gigi Ugulava was published from prison for any day. In this situation, the Constitutional Court has never considered the Financial Supervision Agency being a priority case. The Banks&Finances was told for the court how the legal discussions haven’t been appointed yet and the legislation determines 9 month period just for this case.
The distrust towards the NBG President Giorgi Kadagidze is a real motive for allowing the Financial Supervision Agency. Consequently, the latest agency ended up being expose causes of extreme collapse with the GEL exchange rate and then to stabilize the exchange rate. Additional purpose of the agency ended up being recover the financial market. For quite a while, the NBG has supervised commercial banks, while other bodies in the financial market were in offside. The securities market remains undeveloped, that’s one of the primary instruments for success from the finance sector in every developed country. Neither pension funds nor the insurance coverage sector has developed in Georgia. Therefore, nobody would look at the NBG performance as a success.
All these processes need to be liberated from political tinctures and specific steps ought to be taken for the financial market development, financiers assert. It is really not of much importance your house financial supervision agency remains from the NBG structure or operates as being a semi-independent structure. Both models successfully are employed in the civilized world, financiers assure.
Therefore, if ever the NBG is liberated from Giorgi Kadagidze, the leading opponent of your ruling Authorities of the United National Movement (UNM), the ultimate decision from the constitutional court will not matter for any Authorities.
“Giorgi Kadagidze will complete his 7-year tenure for the reason that NBG president in February of 2016. After Kadagidze leaves the NBG, the Georgian President must submit a fresh person in the NBG board on the Parliament. After that, the NBG board will elect the revolutionary president. In the Georgian organic law on National Bank, the NBG board can be a supreme body comprising 7 members. A fresh member was approved to your board in December of 2014. Three members will complete their terms in December of 2016. This means that the old members of the NBG board will have to elect the newest president. Therefore, whenever they chose the participant acceptable, they’ll elect him/her since the NBG president. In other case, the current vp Archil Mestvirishvili, who will be from the team of Kadagidze and it has the trust in the board members, will execute the commissions on the NBG President.”
At this stage, the NBG board members are: Giorgi Kadagidze, the NBG President, along with the Board Chairman. He took over as board member in February 2009. Before, he had chaired the Financial Supervision Agency. Last year, the Agency was united in to the NBG.
Archil Mestvirishvili, the Second in command, joined the board in December 2009.
Otar Nadaraia, another Second in command, joined the board in December 2009. They have been working within the NBG since 2003.
Lasha Jugheli is the Board Member since 2009. Ahead of that, he was an assistant to Giorgi Kadagidze within the Financial Supervision Agency.
Vazha Jankarashvili, Board Member since May 2012. Before, she has worked on various positions within the Prosecutor’s Office.
Nikoloz Gongliashvili, Board Member since 2012. Before, he’s worked on the prosecutor’s office as well as Georgian Public Broadcaster (GPB).
Nikoloz Kavelashvili, Board Member since December 2014.
If Archil Mestvirishvili fulfills the NBG President’s commissions, he’ll almost certainly be in charge until December of 2016, when his membership term is done. Supposedly, three sign ups shall be elected towards board in January 2017. Because of this the NBG board should have five newbies and his awesome new team will elect the newest president within the NBG for a period of 7 years. This spring will cast light if thez NBG is liberated from political tensions and whether the Government will still need plans for enacting the brand new agency.