The SSU has collected evidence against Mikhail Shelkov, a russian oligarch under sanctions, involved in covert supply of Ukrainian titanium to the aggressor state.

For the supplies, Shelkov used the Demurinsky Mining and Processing Plant LLC in Dnipropetrovsk region, which was under his control.

Rare minerals from the Ukrainian company’s deposits are indispensable components for the production of high-quality titanium.

Shelkov supplied them to russia to orders of the russian military-industrial complex, including the manufacturers of Kalibr cruise missiles, MiG-35 and SU-35 combat aircraft, and Ka-52 helicopters.

Following the SSU’s investigation, in early February 2023 the Demurinsky Mining and Processing Plant was transferred to Ukraine’s state ownership.

The investigation established that Shelkov had covertly become a beneficial owner of the Ukrainian mining company even before russia’s full-scale invasion.

The actual management of the company was carried out through the russian titanium monopoly the VSMPO-AVISMA Corporation. The oligarch controlled the enterprise together with an adviser to the CEO of VSMPO-AVISMA.

The corporation is working for the largest producers of weapons for the russian occupation troops.

After 24 February 2022, Shelkov wanted to conceal his connection to the industrial assets in Ukraine and evade sanctions.

To do this, he tried to transfer formal management of the Ukrainian mining enterprise to a controlled commercial entity in Dnipropetrovsk region.

However, the SSU exposed the scheme, blocked it timely and initiated a transfer of 100% of the russian property for Ukraine’s benefit.

Based on the evidence collected, SSU investigators served Shelkov and his accomplice Fedoseev notices of suspicion under Article 110-2.3 of the CCU (financing actions committed with the aim of forceful change or overthrow of constitutional order or seizure of state power, change of boundaries of the territory or state border of Ukraine).

Since the suspects are in russia, comprehensive efforts are underway to bring them to justice for crimes against Ukraine.

The investigation was carried out under the procedural supervision of the Prosecutor General’s Office and in cooperation with the State Financial Monitoring Service, ARMA, the State Customs Service and the State Property Fund of Ukraine.