On July 14, 2017, the Detectives of the National Anti-Corruption Bureau of Ukraine (NABU) under the procedural guidance of the Specialized Anti-Corruption Prosecutor’s Office (SAPO) detained a number of officials of the Armed Forces of Ukraine and the State Enterprise (SE) “Lviv Armor Vehicle Factory”. The detainees are suspected of committing crimes under Part 5 Article 191 of the Criminal Code of Ukraine (“Misappropriation, embezzlement or conversion of property by the abuse of office”). The intermediary, who is also the founder of the commercial structure, was also detained.
The investigation revealed that with participation of the fictitious firms, the officials of the Armed Forces of Ukraine in the conspiracy with the officials of the founder of the SE “Lviv Armor Vehicle Factory” and the Ltd. organized corruption scheme for procurement of spare parts and components for armored vehicles and equipment. The damage done to the State amounted to 28.5 million UAH in 2015.
According to the corruption scheme the detainees purchased engines for T-72 tanks that were previously in use instead of the new ones. In addition, the used (and mostly defective) engines have already been sold to enterprises in the domestic market as excessive assets of the Ministry of Defence of Ukraine in 2008-2009. Besides, the production of current engine model had been discontinued since the 1990s, and the participants of the corruption scheme were aware of that.
All detainees were given notice of suspicion. The issue of choosing preventive measures is in process.
The investigation as of corruption offences started in late November, 2016.
Scheme in HQ: https://www.flickr.com/photos/nab_ukr/39746020842