It was necessary to fight against offshore centers used by tax-evading companies, Mr. Potanin said commenting on Russian Prime Minister Mikhail Fradkov’s statement that many Russian companies did not even try to conceal their real owners, failed to provide a full list of its affiliates and “continued operating through offshore centers, not always legally”.

According to Mr. Potanin, offshore centers are very popular in Russia, with some companies using them to structure their investment and transactions, and others – to evade taxes. Tough measures should be taken against the latter, Mr. Potanin stressed. According to him, such practices “provide an unfavorable picture of our economy”. He said a normal company included its offshore operations in consolidated reports.

Mr. Potanin also said that the problem of so-called “gray” wage schemes had almost been solved. He was speaking in response to Mr. Fradkov’s statement that “gray wage schemes” do not meet corporate governance standards adopted in industrially developed countries. “Large companies employ huge numbers of people, and it is impossible to pay wages under the table there,” the businessman noted. Mr. Potanin also added that this problem was important for small and mid-sized companies, but, he said, management in such companies should take a responsible approach and solve the problem of “gray wages”. Mr. Potanin added that he supported the government’s efforts to create equal conditions for companies of different sizes. In his opinion, the state should punish those companies that do not stop using semi-legal wage schemes.

A dialog between business and the authorities is acquiring a new quality, he said. “I see Mikhail Fradkov’s statement about the setting up of the government’s consultative body as the necessity to have feedback with business,” the businessman added. Mr. Potanin expressed hope that the new body will work effectively.