Officials will do their best to prevent the adoption of the Competition Code

A draft Competition Code has been submitted to the Cabinet of Ministers. The draft Code, prepared by the State Service for Antimonopoly Supervision and Control of the Consumer Market under the Ministry of Economy, having received a positive opinion from the relevant state structures, was submitted by the Ministry of Economy to the Cabinet of Ministers.

The Competition Code was presented by the President to the Milli Majlis in 2006. Although the draft law was adopted in the second reading, it was not submitted for discussion in the third reading. It is expected that the revised Code, after 16 years, will again be submitted for discussion in the plenary session of the Milli Majlis.

Will the oligarchs prevent the adoption of the Code this time as well?

Lawyer Akram Hasanov answers ASTNA questions.

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Question: The Competition Code has finally been prepared, and now it is expected that it will be submitted for discussion. Why was not the Competition Code adopted, although it has been talked about for years?

Answer: Because the project must first of all be coordinated with officials. As a rule, they conduct unfair competition, officials monopolize their business. Personal interests conflict with the general interest. In a country where officials are not required to submit declarations of income and expenses, entrepreneurship cannot but depend on the arbitrariness of officials.

Question: Are the officials represented in power interested in the adoption of the Competition Code? Will there be any obstacles to the adoption of this Code this time as well?

Answer: Not all officials have a business. Recently, we have seen an increase in not only literate, but honest and patriotic personnel among officials. I am sure that it is thanks to them that the project has again become relevant and is being submitted for discussion. But, of course, officials at the opposite pole will again do everything possible to prevent the project from being adopted or adopted in the form that suits them.

Question: Is it possible that the Competition Code will be prepared in a form that suits them, or if it is adopted, but will be on the list of non-working laws?

Answer: Now this danger is very great. If we take into account that in Azerbaijan, in general, there is no normal legal science and an adequate legislative system (especially in the sphere of economic relations), then they can lead to such a state that its significance will be completely lost. By the way, the project is still not on the website of the Milli Majlis. So, work on it continues. Including in a negative way.

As for the possibility that the Code may end up on the list of non-working laws, then, most likely, in the first years, most of its provisions will face precisely this fate. Because laws are enforced by the courts. Law enforcement agencies investigate violations of the law. We have a paradoxical situation. The economic and social bloc of government is mostly in the hands of young, educated and honest cadres, while the justice, court and law enforcement agencies are still in the hands of old and often illiterate and dishonest people. Therefore, although the former develop good laws, the latter continue to apply them as before. That is, based on personal interests.

Question: What will the Competition Code give people, society?

Answer: Nothing extraordinary. But, if it is adopted in a way that is really necessary for society and in parallel judicial and legal reforms are carried out, and legislation on the transparency of the activities of officials (declarations of income and expenses) is adopted, and registers of legal entities and real estate become publicly available, then this Code can give a serious impetus to the development of entrepreneurship. The Azerbaijani people are enterprising. It needs three things: for the property to be protected, for the contracts concluded with him to be respected, for there to be no unfair competition. The courts must protect these rights of our citizens. If there is confidence in all this, then our people with their efforts, investing time and money, will be able to accomplish great things. They are hindered only by illiterate and dishonest officials. Those who want easy money. The Code can systematically address these issues.

Question: What must the Competition Code contain in order to put an end to monopoly and other negative phenomena in the country? What do you suggest?

Answer: There may be different models in this area. After the publication of the draft (Competition Code - Turan's note), I will publish my detailed conclusion. In general, I can say the following. First of all, the exact criteria of monopoly should be clearly fixed (in the Competition Code - Turan's note) and severe sanctions should be imposed on those who violate them (the norms of the Competition Code - Turan's note).

All forms of unfair competition should be regulated in detail in the Code. Starting from falsification of economic activities of a competitor, discrediting, interference in this activity to unscrupulous entrepreneurship.

And this is impossible without transparency. As already mentioned, public registries should be accessible. Plus, public procurement must also be fully transparent. After all, the state is the main customer of entrepreneurs. This is where unfair competition begins.

As I said, this problem will not be solved by the Code alone. The issue requires an integrated approach.