ON THE ESTABLISHMENT OF THE ADMINISTRATIVE DEPARTMENT OF TRADE AND INDUSTRY

The Special Representative of the Secretary-General,

Pursuant to the authority given to him under United Nations Security Council resolution 1244 (1999) of 10 June 1999,

Taking into account United Nation Interim Administration in Kosovo (UNMIK) Regulation No. 1999/1 of 25 July 1999, as amended, on the Authority of Interim Administration in Kosovo and UNMIK Regulation No. 2000/1 of 14 January 2000 on the Kosovo Joint Interim Administration Structure,

For the purpose of establishing the Administrative Department of Trade and Industry,

Hereby promulgates the following:

Section 1

Administrative Department of Trade and Industry

1.1 The Administrative Department of Trade and Industry (hereinafter “the Department”) is hereby established.

1.2 The Department shall be responsible for the overall management of matters related to trade and industry in Kosovo.

1.3 The Department shall implement policy guidelines formulated by the Interim Administrative Council in the field of trade and industry.

Section 2

Functions

2.1 The Department may make policy recommendations to the Interim Administrative Council through the Deputy Special Representative of the Secretary-General for Economic Reconstruction, Recovery and Development concerning, inter alia:

(a) The establishment of a regulatory framework for:

(i) business in Kosovo appropriate to a market economy, including business formation, registration, and governance; securities regulation; insolvency, bankruptcy and liquidation; foreign investments regulation; the integration of informal economic activity into the formal sector;

(ii) consumer protection;

(iii) economic competition;

(iv) protection of intellectual property, consistent with international standards;

(v) resolving ownership issues related to non-residential property; and

(vi) international commercial transactions, in coordination with the UNMIK Customs Service and consistent with the rules of the World Trade Organization;

(b) The reconstruction and development of industrial and commercial enterprises;

(d) The attraction of foreign investment to Kosovo, including providing information to potential investors, matching potential investors with local partners, assisting investors in obtaining necessary licenses or other authorizations, compiling and publishing foreign investment data and working with other administrative departments to encourage foreign investment; and

(e) Other matters generally related to the development of trade and industry in Kosovo.

2.2 Where the Special Representative of the Secretary-General has determined pursuant to section 6 of UNMIK Regulation No. 1999/1, as amended, that an enterprise in the territory of Kosovo shall be administered by UNMIK for the time being without prejudice to its future status, the Department may, subject to section 2.4 below:

(a) Act as administrator or trustee with respect to such an enterprise, including administering moneys, bank accounts and other assets, separately from the Kosovo Consolidated Budget, and granting concessions or leases with respect to such property;

(b) Set fees, as may be required, for departmental services provided to the public;

(c) Enter into insurance contracts, including indemnity insurance for itself or for enterprises where the Department is acting as administrator;

(d) Require those persons who are or appear to be responsible for the management of the enterprise to provide such information about the enterprise and their involvement in it as the Department may determine;

(e) Require those persons who are or appear to be responsible for the management of the enterprise to surrender control of asset(s) of the enterprise to the Department, or to demonstrate to the Department's satisfaction that such asset(s) are not related to the enterprise; and

(f) Enter into arrangements for the lease, management, reconstruction or reorganization of the enterprise in the interest of Kosovo.

2.3 The Department shall perform its functions under section 2.2 above in compliance with requirements established by the Central Fiscal Authority under the relevant regulations and administrative directions.

2.4 The Department’s responsibility under section 2.2 above shall be limited to enterprises that are industrial or commercial in nature. Enterprises providing basic infrastructure or services such as utilities, transportation and telecommunications; enterprises providing social services such as education, health, housing, and cultural activities; enterprises the responsibility for the administration of which is assigned to another Administrative Department; and enterprises the responsibility for the administration of which is specifically assigned to a Municipality under relevant regulations or administrative directions are outside the scope of the Department’s responsibilities.

2.5 Determinations by the Special Representative of the Secretary-General pursuant to section 2.2 above shall be without prejudice to the right of any person or entity to assert ownership or other rights in the property in a competent court in Kosovo, or in a judicial mechanism that may be established in a subsequent regulation.

Section 3

Co-Heads of the Department

Co-Heads of the Department, under the supervision of the Deputy Special Representative of the Secretary-General for Economic Reconstruction, Recovery and Development, shall be jointly responsible for:

(a) Managing the Department and ensuring that the functions entrusted to it are implemented;

(b) Staffing, organizing and administrating the Department and issuing administrative instructions and operating guidelines on any matters pertaining to the functions of the Department; and

(c) The effective and efficient management of resources provided to the Department from the Kosovo Consolidated Budget or from any other source.

Section 4

Personnel and Employment Policies

Co-Heads of the Department shall:

(a) Implement non-discriminatory personnel policies designed to ensure that the composition of the staff of the Department reflects the multi-ethnic character of Kosovo;

(b) Endeavor to ensure equitable gender representation in all areas and levels within the Department; and

(c) Ensure that recruitment of the staff of the Department is based on professional qualification, competence and merit and is undertaken through fair and open competition.

Section 5

Implementation

The Special Representative of the Secretary-General may issue administrative directions for the implementation of the present regulation.

Section 6

Applicable Law

The present regulation shall supersede any provision in the applicable law which is inconsistent with it.

Section 7

Entry into Force

The present regulation shall enter into force on 7 December 2000.

Bernard Kouchner

Special Representative of the Secretary-General