Date: 1922-02-28
Source: ru:PSS/v54

Source: PSS vol 54

… But since the decree of June 10, cited above, has not been rescinded, the special decree on industrial cooperatives must, evidently, be understood as abolishing preliminary auditing rather than the right to subsequent oversight. While recognizing the RKI’s right to exercise subsequent oversight over cooperative organizations, it is nonetheless necessary to stipulate that, under the New Economic Policy, this right must be exercised with certain limitations. Private activities undertaken by cooperative organizations—namely, their operations in the free market and their dealings with private individuals—are not subject to oversight by the NK RKI. The NK RKI may only oversee the performance of cooperative organizations’ duties in fulfilling state assignments, ensuring the proper allocation and utilization of state-allocated funds and material resources…
That’s exactly right!

Wrong!!
Where did that come from?
??
2. With regard to private enterprises:

With respect to the activities of private enterprises, the Regulations of the NK RKI do not establish any specific rights pertaining to auditing or oversight… However, it would be a mistake to conclude that the organs of the NK RKI possess no oversight authority over private industry. First and foremost, since the NK RKI is entrusted with the task of monitoring compliance with the decrees of Soviet power, it is perfectly clear that when private industrialists violate these decrees, the NK RKI is empowered to bring the offenders to judicial accountability. On the other hand, given that private industry in our country is currently expanding through the leasing of state-owned enterprises, it is equally evident that, in this regard as well, the NK RKI must—and does—exercise appropriate oversight authority. The NK RKI cannot monitor the turnover or commercial activities of private enterprises, since these enterprises operate in the free market; however, since these enterprises—and indeed any private enterprise—operate pursuant to state assignments, the NK RKI’s oversight powers must be no less extensive—precisely so!

Wrong.

And here, too, it is possible—but only to exercise subsequent oversight.

There! There!

Thus, the NK RKI possesses corresponding authority with regard to cooperative organizations. At the same time, since leased enterprises remain the property of the state and are merely placed in temporary use by lessees, the NK RKI has the right to exercise oversight not only as an organ of state authority obligated to ensure that lessees faithfully fulfill their contractual obligations, but also to oversee the proper custody of state property and its utilization in ways that do not harm the interests of the state…

Rather than supplementing, we should clarify and codify.

In conclusion, I deem it necessary to point out that, owing to the contradictory and inconsistent nature of the legislation governing the rights of the NK RKI, the new Regulations of the NK RKI must be supplemented with appropriate articles that clearly define the NK RKI’s rights both with respect to cooperative enterprises and to private industrial enterprises.

Member of the Collegium of the People’s Commissariat of Justice, V. Yakhontov

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Written February 28, 1922.

First published in 1945.

In Lenin Collection XXXV.

Printed from manuscript.