The SBU documented criminal misappropriation of real estate by an organized group.

SBU officers established that organizers of the scam, including former executives of a plant with a state share of 81.9%, conspired with managers of several companies. The offenders illegally seized the plant with an area of ​​6,000 m². The criminals deliberately estimated it at UAH 1.5 m (USD 54,000) in documents. Instead, the market value of land plots in Kyiv’s Pechersk district is about USD 4 m. The exact state losses are being estimated.

The SBU exposed the scam, despite illegal practices of the organizers to legalize their fraud.

A hotel complex with a restaurant and a casino is currently under construction at the site.

Law enforcement officers conducted searches of offenders’ residences and offices and seized documents proving fraud. The group’s members received notices of suspicion of misappropriation of property and laundering of proceeds from crime.

The court seized the building. Civil lawsuits are being prepared on resumption of the estate to compensate state losses.

The pre-trial investigation is ongoing.

The operation was conducted by the SBU Main Directorate for Combating Corruption and Organized Crime jointly with the Investigative Division of the Pechersk Police Office of the National Police in Kyiv under the supervision of the Kyiv Local Prosecutor's Office No 6.