The Security Service of Ukraine and the National Police uncovered a scheme to embezzle UAH 36 million from the State Reserve system
The Security Service of Ukraine, together with the National Police, uncovered a large-scale corruption scheme in the system of the State Agency for Reserves of Ukraine. In the Kyiv region, the former acting director general of one of the State Reserve's combines and five of his accomplices were detained.
According to the investigation, the organiser, while in a managerial position at the state-owned enterprise, created a network of commercial structures under his control. He involved an acquaintance as an intermediary to implement the scheme. After registering the companies, the State Reserve warehouses were leased to them at artificially low prices.
These premises were then sublet to representatives of companies in the real sector of the economy at market prices. The difference between the underestimated and actual cost was transferred through affiliated companies, cashed out and distributed among the participants of the organisation.
According to law enforcement agencies, the monthly illegal income amounted to between 1 and 4 million hryvnias. The funds obtained were used to purchase luxury real estate and premium cars. To conceal the scheme, the participants entered false information into financial and economic documentation.
During searches of the suspects' places of work and residence, smartphones, computer equipment and documents confirming the operation of the scheme were seized. The total amount of damage caused to the state, according to the investigation, is estimated at 36 million hryvnias.
The six detainees have been notified of their suspicion under Part 1 of Article 255 of the Criminal Code of Ukraine for creating and leading a criminal organisation, as well as under Part 5 of Article 191 for embezzlement of property on an especially large scale through abuse of official position. The sanctions provide for up to 12 years' imprisonment with confiscation of property.
The investigation is continuing under the procedural supervision of the Office of the Prosecutor General.
