Municipal Enterprise 'Kyivzelenbud' at Heart of Corruption Probe
A major corruption scandal has erupted in Kyiv involving the municipal enterprise 'Kyivzelenbud'. Two officials are now under suspicion for embezzling over 928,000 hryvnias allocated for the restoration of Pozniaky Park. According to law enforcement, the deputy general director for capital investments and the head of the engineering support department authorized payment certificates for work that was never completed, leading to the illegal transfer of funds to a contractor. This case highlights ongoing challenges with public fund management in Ukraine's capital, where such investigations are increasingly common.
Investigation Uncovers Wider Pattern of Fraud
The tender for the 'Capital repair of the retaining wall in Pozniaky Park' was announced in 2024, with the winning bid set at nearly 3.4 million hryvnias. The investigation into this project revealed similar embezzlement schemes in other city parks. Previously, authorities uncovered inflated material costs during repairs at Hydropark, resulting in an overpayment of more than 1.2 million hryvnias. Police also detected a scheme to misappropriate 800,000 hryvnias designated for the reconstruction of Orliatko Park.
A former 'Kyivzelenbud' official has been notified of suspicion under Part 5 of Article 191 of the Criminal Code of Ukraine, while a subordinate faces charges of complicity. Both suspects risk up to 12 years of imprisonment with property confiscation. In the Orliatko Park case, a businessman and former head of 'Kyivzelenbud' have been notified of suspicion and face up to 8 years in prison. The investigation is ongoing as law enforcement continues to uncover new facts regarding the embezzlement of budget funds in Kyiv's municipal improvement sector.
This situation underscores serious systemic issues in managing budget funds for Kyiv's urban development, where embezzlement and misuse of resources are becoming increasingly routine.
Authorities and law enforcement must continue their work to identify and punish offenders to ensure the effective use of taxpayer money and improve the city's infrastructure.