The SSU exposed Chernihiv City Council officials and senior management of construction companies on misappropriating dozens of millions of UAH allocated for the city’s social infrastructure development.

According to the investigation, the officials of the Department of Capital Construction of Chernihiv City Council conducted open procurement for construction and reconstruction works worth over UAH 218 m (USD 8,242 000). The services were supposed to be for the kindergartens, health care facilities, gyms and playgrounds in Chernihiv. A ‘partner’ company won the tender.

The State Audit Office documented that the companies had considerably overstated the value of construction materials and work. The losses to the local budget amount to UAH 23.5 m (USD 888,500).

The investigators conducted over 20 searches simultaneously at the company offices and homes of the individuals involved and seized records and primary accounting documents confirming the unlawful activity. During the investigative actions, the officers averted the attempt of a company head to burn estimate documentation.

The investigation of misappropriation, embezzlement or taking possession of property through abuse of office is underway.

The operation was carried out by the SSU Main Directorate for Combating Corruption and Organized Crime and the National Police under the supervision of the Prosecutor General’s Office.