Abuses Uncovered in Shelter Construction Project
The State Audit Service of Ukraine has uncovered significant financial abuses during the construction of a radiation shelter for the Petrivskyi Lyceum in the Vyshhorod district of Kyiv region. Auditors determined that the scope and cost of the work were inflated by nearly 19 million hryvnia. While the shelter was designed for 390 people, a substantial amount of the equipment paid for with public funds was found to be missing. This case highlights ongoing challenges with corruption in public procurement, particularly for critical wartime infrastructure.
Issues with Contract Fulfillment and Pricing
The contractor failed to provide documentation proving the purchase of furniture and equipment worth over 2 million hryvnia. The audit found no beds, chairs, tables, medical cots, dishwashers, or refrigerators that were supposed to be installed. Over 16 million hryvnia of the irregularities stem from pricing manipulations, revealing substantial discrepancies between the rates in the project plan and those in the work completion certificates.
- A difference of over 1.4 million hryvnia was identified for the installation of columns using metal formwork.
- The cost difference for constructing reinforced concrete retaining walls and basements amounted to nearly 300,000 hryvnia.
- Some certificates included work items that did not correspond to the original project design.
Certain tasks were either not completed or were executed with defects. For instance, the foundation waterproofing was applied in a single layer instead of the required two, leading to a cost overrun of nearly 100,000 hryvnia. Observers also documented the physical absence of project-mandated structures on-site, valued at almost 8 million hryvnia.
The audit materials have been forwarded to law enforcement agencies for further investigation. Separately, the Podil District Prosecutor's Office in Kyiv has announced suspicion against the director of a children's and youth sports school, K.D. Kozak, for the alleged embezzlement of nearly 750,000 hryvnia during a repair project.
In response to these uncovered violations, Kyiv City Council deputies have approved a decision to allocate an additional 1.5 billion hryvnia for constructing dual-purpose structures with radiation shelter capabilities in the city's educational institutions. This funding is part of amendments to the city's Economic and Social Development Program for 2024-2026.
The abuses discovered during the construction of the shelter for Petrivskyi Lyceum underscore systemic issues in managing public funds and overseeing state contracts.
While the City Council's decision for additional funding may improve educational infrastructure, the urgent need to address corruption and abuse of power remains critical to prevent such incidents from recurring.
The recent audit findings are part of a broader pattern of financial misconduct in school shelter projects across Ukraine. For instance, a similar case in Kyiv has revealed embezzlement of 450,000 hryvnias during the repair of school shelters. Such instances not only undermine public trust but also highlight the urgent need for reforms in the oversight of public procurement in critical infrastructure. To learn more about this troubling trend, see the full details in our report on embezzlement in school shelter repairs.