The Security Service of Ukraine has exposed a developer from the Kyiv region on fraud in the sale of real estate. The losses to the state budget reached more than UAH 50 million.

According to the pre-trial investigation, the director of a construction company from Kyiv-Sviatoshynskyi district organized an illegal scheme to sell apartments, technical premises and offices. Real estate was sold at significantly lower tax rates on behalf of individuals.

The operatives of the special service documented that under this scheme the company managed to sell more than 1 thousand residential and non-residential premises by improper means. In total, the developer planned to build and illegally sell 74 houses and 200 cottages.

Within the framework of criminal proceedings one of the offenders was served suspicion notice.

The investigative actions are under way. The involvement of local government representatives in illegal transactions with land plots allocated for construction is being checked. 

Measures to detect illegal activities was conducted in conjunction with the Main Investigation Department of Financial Investigations of the SFS of Ukraine under under the procedural guidance of the Prosecutor General’s Office.