24.10.2024 Corruption Investigations Money laundering Tenders

Fraud with the purchase of drones, clothing and food for the Armed Forces of Ukraine

Міністерство хаосу» наносить удар у відповідь | Опінії Останній Бастіон

There are 2 enterprises that carry out public procurement under the Ministry of Defense. These are the State Enterprise “Defense Procurement Agency” (Maryna Bezrukova) and the State Enterprise “State Logistics Operator” (Arsen Zhumadilov). The heads of both companies have a dubious reputation and have already been involved in more than one scandal involving the purchase of low-quality goods for the Armed Forces and at an inflated price.

So, here’s a look at the most high-profile scandals that should not be kept quiet.

Drones for the Armed Forces: what’s wrong?

7 million hryvnias – this is the amount of overpayment for the purchase of Mavic drones by the Defense Procurement Agency under the leadership of Bezrukova and Sytnyk.

Despite the fact that this deal was called “the most successful”, the reality was quite different.

Here are some details

The DPA bought drones at a price 10-12 thousand hryvnias more expensive than the State Special Communications Service. The total number of drones is 700, which means the minimum amount of overpayment is UAH 7 million. Minimal! Although journalists quickly discovered the obvious overpricing, law enforcement officials were indifferent and did not react to the situation at all. At the same time, the APH immediately concealed all the details of the procurement.

By the way, it is now difficult to find any details regarding the contract price or the suppliers to whom the healthcare organization gives millions of budget. So why don’t the controllers react to this in any way? Or has the robbery of the Armed Forces become a common thing in 3 years?

Nebo v pixel LLC and YASNO 2022 LLC

Nebo v pixel LLC has been in the service market for only a year, but has already become a major player in the supply of UAVs for reconnaissance. The company is headed by Serhiy Kondratenko, who is also the owner of the Odesa-based Garant stock company, which trades in securities.

Coincidentally, the director of the aforementioned Garant is Maksym Makarenko, a Kyiv City Council member from the UDAR party and a member of the Architecture Commission, who used his connections in intelligence and military circles to lobby for Nebo v pixel as the main supplier of drones to the GUR. His biography states that he actively interacts with military structures and has received awards from the terrorist defense. In one of his declarations, Makarenko even indicated that the source of his income is the military unit A0515, known as the Main Intelligence Directorate of Ukraine (GUR).

Thus, the conditions of the vast majority of procurements involving the purchase of UAVs for the Armed Forces are written specifically for players such as Sky to Pixel to further obtain budget millions.

According to the sources, part of the money from contracts with the state is distributed among Kondratenko, Makarenko and representatives of the DIU. Instead of this money being used for the needs of the army, it ends up in the pockets of the scheme’s participants.

This situation demonstrates how important it is to fight corruption at all levels, especially when it comes to the defense sector in times of war.

Food

If you thought that the story of “eggs for 17 hryvnias” and the Hrynkevychs’ manipulation of food supplies for the Armed Forces was the end of the story, you are wrong.

For example, the scandal surrounding random inspections of food suppliers is gaining more and more traction. The State Logistics Operator (DOT), according to members of the Anti-Corruption Council, ignores massive violations of contracts by some companies and continues to cooperate with them, while other suppliers lose their contracts due to minor violations.

Some facts

Trade Granit Invest lost its contract after two recorded violations, but the real “leaders” in the number of violations remain untouched. For example:

  • Busky Cannery – 176 violations (products stored in unsanitary conditions);
  • ASICS GROUP LLC – 114 violations (supply of rotten eggs and counterfeit butter);
  • Mit Prom LLC – 51 violations;
  • Kontrakt Prod Reserve LLC – 34 violations.

These companies continue to supply food to Ukraine’s defenders, which jeopardizes the health of the military and reduces the army’s combat capability.

Food cartel and embezzlement of UAH 900 million

Another situation is the concealment of tender results worth over UAH 900 million. Thus, the purchase of food for the military in Lviv and Rivne regions for UAH 607 million went to Trade Granite Invest LLC, which Zhumadilov had previously publicly accused of dishonesty. The same company is owned by Adamovski-Yakubovsky, and now it has returned to public contracts despite numerous scandals and violations.

Thus, Zhumadilov, who had previously promised not to work with dishonest suppliers, changed his position. The new procurement system was created for specific suppliers. It is not a tool for transparency, but a mechanism for enriching the “chosen ones”.

So why is it so difficult to eradicate the “food mafia”?

Despite all attempts to fight against unscrupulous suppliers, it is very difficult to replace them with real manufacturers. Here are some of the main reasons:

Blackmail by intermediaries: Intermediary companies, such as Hlyniani or Hrynkevych, blackmail manufacturers by threatening not to pay debts if they dare to participate in MoD tenders directly. Manufacturers, fearing financial problems, simply do not participate in tenders.

Fraud with products: Intermediaries, when buying meat, refuse to use branded packaging to be able to “inflate” the meat with water, increasing weight and profit. Quality claims then fall on the producers, forcing them to avoid direct sales through such intermediaries.

The Ministry of Defense is aware of the problem, but does not take decisive action. Although the Ministry of Defense formally supports the idea of change, it is felt that efforts to implement it are not enough.

Thus, corruption in the food supply system for the Armed Forces is not just a bureaucratic mess. It is a direct threat to the lives of those who defend our country! And while the DOT and the APO turn a blind eye to the offenders, each of us may suffer because of their inaction.

Did you witness a crime?

Let us know about it. We will help protect the violated rights!

Share the post:

Last news

ALL NEWS ALL ARTICLES