Anti-Corruption Bureau Exposes Kickback Scheme in Poltava Road Repairs

Corruption Scheme Uncovered in Poltava Region

According to Главком: Ukraine's National Anti-Corruption Bureau (NABU) and the Specialized Anti-Corruption Prosecutor's Office (SAPO) have exposed a corruption scheme tied to road repair projects in the Poltava region. Officials from the Housing and Communal Services Department (UZHK) of the Poltava City Council, along with a local deputy, systematically demanded illegal payments from contractors, amounting to 10% of each contract's value.

According to investigators, the total illicit gains exceeded 7.7 million hryvnias. Among those implicated are Poltava City Council deputy Yurii Brazhnyk and UZHK deputy head Maksym Teslenko. Also under suspicion are representatives of the contracting firms 'Transdorkom' LLC and 'DRSU Poltava' LLC, namely Pryadka and Tuzenko.

• The deputy and city official are suspected under Article 368, Part 4 of the Criminal Code of Ukraine.
• Two contractor representatives are suspected under Article 369, Part 3 of the Criminal Code of Ukraine.

On June 11, the High Anti-Corruption Court (HACC) ordered the deputy's pretrial detention, with an alternative bail set at 33.28 million hryvnias.

'According to the investigation, officials demanded a 10% kickback from companies for maintenance and routine repairs of local roads. The total amount of illicit funds received exceeds 7.7 million hryvnias,' NABU stated.

These corrupt actions have caused significant financial damage to the local budget and raised serious public concerns about transparency in the use of public funds for road repairs. The investigation continues, and the case is expected to proceed further through the courts.

Why Investigating Corruption Schemes Matters

The exposure of this kickback scheme highlights ongoing issues within Ukraine's public procurement and budget management systems. Given the large sum of illicit money involved, it is crucial for state authorities to strengthen oversight of expenditures and ensure financial transparency. Investigating such cases is a vital step toward combating corruption and building public trust in state institutions.

The recent revelations in Poltava are not isolated incidents; similar cases of corruption within local government are emerging across Ukraine. For instance, a city council member in the Lviv region is currently facing trial for providing false information to the NABU and submitting a fraudulent declaration. This highlights a troubling pattern of misconduct among public officials. To explore this ongoing issue further, refer to the details of the case in Lviv here.