The SSU Cyber Department has exposed corruption in the State Service of Ukraine on Food Safety and Consumer Protection. The management of this Service tried to create a controlled enterprise, which during 2022 was supposed to illegally ‘appropriate’ over UAH 650 mln (USD 22 mln) from the state budget.

Thanks to the SSU’s proactive efforts, criminal intent was prevented; the involved officials have already been notified of suspicion. Among them are two ‘A’ category public officials, who belong to the higher corps of the civil service in Ukraine:

• acting head of the State Service of Ukraine on Food Safety and Consumer Protection;
• deputy head of the State Service on Food Safety and Consumer Protection;
• director of Financial Department of the State Service on Food Safety and Consumer Protection;
• head of the state procurement sector of the State Service of Ukraine on Food Safety and Consumer Protection;
• acting director of one of the state enterprises;
• head of a private company.

The SSU established that the above-mentioned officials planned to create an enterprise, the main task of which would be to participate in tender procedures.

Through this entity, the officials intended to appropriate budget funds that the government allocated in 2022 for informatization of the State Service on Food Safety and Consumer Protection. These funds amount to UAH 680 mln (USD 23 mln).

To do this, they entered into a conspiracy, involved other accomplices, distributed roles and agreed on the stages of the crime.

The high-ranking officials calculated that UAH 2.5 mln were needed to start the operation of such an enterprise. To receive these funds, the Service announced a tender for developing a database of electronic state register of feed additives. UAH 2.6 mln was allocated for this from the state budget.

The tender was won by a company affiliated with the state institution even though this firm offered the highest price.

The SSU documented that the winner had ‘provided’ a ‘ready register’ to the State Service a day after concluding the contract. For this, the company received UAH 2,313,000 from the state budget.

However, an inspection initiated by the SSU showed that the State Service on Food Safety and Consumer Protection did not have a database of the electronic register, and the conclusion of this contract caused losses to the state of UAH 2,313,000.

Two high-ranking officials of the state institution and four other individuals involved were notified of suspicion under two articles of the CCU:

• 191.5 (appropriation, embezzlement of property by abuse of office);
• 366.2 (official forgery).

The pre-trial investigation is underway.

The operation was carried out by the SSU Cyber​​Security Department together with the SBI under the procedural supervision of the Prosecutor General’s Office.