The former head of the municipal enterprise “SpetsZhitloFond” and a contractor have been notified of suspicion of embezzling 13.8 million hryvnias, which were allocated from the state budget for the construction of an apartment building in Kyiv. Residents of a dilapidated dormitory were supposed to move into this high-rise building. However, they never received their apartments.
This was reported by the Kyiv police.
Law enforcement officers found that in 2019, the municipal enterprise “SpetsZhitloFond” announced a tender for the construction of a residential building at the intersection of Milyutenka and Sholom-Aleichem streets with an estimated cost of almost 150 million hryvnias. This building was intended for citizens to be relocated from dilapidated dormitory premises.
A private company won the tender, with which the customer concluded a contract and transferred an advance payment.
“According to the terms of the contract, the contracting organization was to perform a set of construction and installation works and erect a residential building with built-in and attached premises. However, in fact, the works were only partially completed and stopped at the foundation construction. Consequently, out of almost 35 million hryvnias received by the contractor as an advance, the cost of actually performed and documentarily confirmed works amounted to only 20.8 million hryvnias,” the police reported.
The amount of damages caused to the territorial community of Kyiv is over 13.8 million hryvnias. This is confirmed by the conclusions of the conducted expert examinations.
Investigators have notified the director of the private company of suspicion under Part 5 of Article 191 of the Criminal Code of Ukraine – embezzlement of another’s property by abuse of office, committed in particularly large sizes.
The former director of SE “SpetsZhitloFond”, who failed to ensure control over the use of advance funds and did not take measures to recover them for actually unfulfilled work, is accused under Part 2 of Article 367 of the Criminal Code of Ukraine – official negligence, which caused severe consequences. The sanctions of the articles provide for up to 12 and up to five years of imprisonment, respectively.