Odesa: City-council top officials appropriate UAH 100 million (USD 4 million) by creating artificial loan debt (video)
SBU exposed Odesa officials of city-council and public utility company on appropriating money from municipal budget.
SBU established that officials on prior conspiracy with business entities appropriated almost UAH 100 million by redeeming loan to a commercial bank.
The perpetrators invented artificial loan debt of the public utility company to the bank. A private company, subordinate to city-council officials, bought the right to claim a debt. After that the businessmen, having boosted the sum of the debt to UAH 100 million, claimed the debt from the city-council.
Top-officials knowingly prepared fraudulent information, on the basis of which the decision to redeem the loan was taken. Then the budget funds were appropriated by the alleged offenders.
To find evidence, the law enforcement officers are conducting searches at the offices of Odesa city-council and companies, involved in the case.
The investigation is ongoing upon the fact of misappropriation and embezzlement (Part 5 Art. 191 of the Criminal Code of Ukraine).
The operation was conducted jointly with the Prosecutor’s Office in Odesa region.
For the Attention of the SBU Head