NABU and SAPO have completed an investigation of another participant in the scheme to embezzle UAH 92 million from the Odesa Сity budget during the purchase of buildings of HC Krayan OJSC. On Aug. 11, 2021, SAPO Prosecutors filed an indictment drawn up by NABU Detectives to court. The actions of the accused, an accomplice who coordinated the actions of the participants in the crime, fall under Part 5 Art. 27, Part 5 Art. 191 of the Criminal Code of Ukraine.
So far, the total number of accused persons has increased up to 12 (including the Odesa City Mayor, his Deputy and others). Ten of them are being tried by the High Anti-Corruption Court (HACC). One participant in the scheme has died and is no longer prosecuted.
As established, in the period from July to December 2016 the Mayor of Odesa jointly with other officials of the Odesa City Administration and a private company embezzled funds from the city budget in the amount of UAH 92 million. According to NABU Detectives, the corruption scheme involved buying a building of the bankrupt Krayan Plant at an inflated price.
The officials then tried to transfer these funds to a fictitious company (the owner of the company has gone into hiding in the uncontrolled Luhansk region). However, NABU and SAPO prevented the attempt to legalize the funds and filed a motion to court for their seizure.
On Jan. 24, 2020, the abovementioned persons were served with notices of suspicion. On April 17, 2020, the suspects and their lawyers were granted access to the case materials.
The pre-trial investigation into the above facts was launched in November 2016.
In total, 12 people have been prosecuted in the "Krayan Plant" case, eight of them being tried at the High Anti-Corruption Court (HACC). One participant in the scheme has died and is no longer prosecuted.
The funds seized on the account of Development Elite LLC in the amount of UAH 92 million will be returned to the state budget if the court passes a conviction.
During 2016–2018, the persons involved in the scheme kept trying to withdraw the embezzled funds - complaints from representatives of Development Elite LLC against the seizure of these funds were considered more than 50 times. Each time, the prosecution managed to prove the validity of the arrest.
In 2017, one of the suspects (a person who supervised the participants in the scheme) offered a bribe to a NABU employee for lifting the arrest of the LLC's accounts.
In October 2018, the indictment regarding 8 participants in the scheme, including the Odesa City Mayor, was sent to the Malynovsky District Court of Odesa. The court was unnaturally quick to consider the case without taking into account almost all the evidence presented by the prosecution.
SAPO Prosecutors insisted that the evidence be fully evaluated and a reasoned decision be passed.
In February 2021, the Appeals Chamber of the High Anti-Corruption Court overturned the verdict of the Malynovsky District Court of Odesa, which acquitted the Odesa City Mayor and other participants in the "Krayan Plant" case.
In addition, the court overturned the decision to close the proceedings against Development Elite LLC.
According to Article 62 of the Constitution of Ukraine, a person is considered non-guilty in the commission of a crime and cannot be subject to criminal punishment until he or she is found guilty by court.