Three suspected of UAH 3.2 million losses to a strategic state enterprise

NABU, SAPO, and the SBU revealed a funds embezzlement scheme at a strategic state enterprise and extra damages in the form of lost profits.

According to the investigation, in 2015-2016, one of the executives of the state enterprise, falling within the sphere of the Ministry of Strategic Industries of Ukraine and being a key enterprise for defense and security, conspired with the beneficial owner of a private company. Under the contract concluded with the enterprise, after receiving a 40 percent advance payment, it was supposed to supply measuring devices but failed to do so despite their availability. Eventually, it supplied the long-awaited devices but at inflated prices, resorting to document forgery at customs and during the tender. Thus, the state enterprise overpaid UAH 2.3 million and suffered additional losses of UAH 853,000 due to lost profits.

After that, the supplier company transferred EUR 43,500 under the guise of payment for agency services to a foreign account of the company of the enterprise executive's wife, registered in the Marshall Islands.

The suspects are:

• the executive of the state enterprise;
• the beneficial owner of the private company;
• the accountant of the private company.

The actions of the suspects fall under Part 5 Art. 191, Part 2 of Art. 364, Part 2 of Art. 209 of the Criminal Code of Ukraine.

During the pre-trial investigation, NABU and SAPO sent requests for international legal assistance to 12 foreign jurisdictions, including the Principality of Liechtenstein, Latvia, and the Czech Republic. The received answers formed the basis of the prosecution's evidence base.

The executive of the state enterprise is also accused of incurring UAH 43.3 million in losses during the sale of explosives through laying companies, as well as incurring UAH 28.4 million in losses when purchasing seamless alloy steel pipes from a predetermined foreign company.