11.05.2024 Construction Corruption Kyiv Utility scams

Kyivmiskbud under the control of Komarnitsky and Klitschko

February 2024 was a decisive month in the reforms of the scandalous Kyivmiskbud. The new chairman and top management put an end to Komarnitsky’s tenure as a “supervisor.”

Background

PJS “HC “Kyivmiskbud” is owned by the city of Kyiv. The company includes 38 organizations, and 80% of the company’s shares are owned by the territorial community of Kyiv. Since 2014, the Board and the company itself have been controlled by Kyiv Mayor Vitali Klitschko.

Kyivmiskbud is one of the largest developers in the capital, and in combination with Komarnitsky’s companies, it will form a real construction empire that will significantly increase its influence on the market with the possibility of putting pressure on housing prices.

To recap: Kyivmiskbud has almost 1.5 million square meters of housing in the works – 22 residential complexes with more than 100 buildings of varying degrees of completion. This list also includes the “legacy” of Ukrbud, which was obtained at the initiative of KMB. At the same time, the holding’s cash gap is currently about UAH 6 billion. That is, imagine the number of investors who are still waiting for their own apartments.

In 2023, it became known about the elite real estate and millions of dollars in vacation expenses of the then CEO Kushnir, who was forced to resign after the outcry. Now, his place in the top management has been taken by the people of Denys Komarnytsky, the “supervisor” of Kyiv.

Komarnitsky returns to the game

Komarnitsky controls several groups in almost all factions of the Kyiv City Council. His power is based on corruption in the land and construction sectors. To this end, the city council left room for the developer’s personal pounds.

The latter, together with their curator Komarnitsky, have implicated Klitschko himself in land and digital corruption, which provides them with the champion’s patronage and protection. In other words, the former boxer is simply covering up the illegal activities of Denys Serhiyovych’s business structures to law enforcement.

In addition, the mayor of the city, who has one of the largest factions in the Kyiv City Council, helps Komarnitsky to realize his budgetary interests in every possible way, of course, not without his own benefit. Thus, back in 2017, Eco-Bud-Trade, controlled by the “smotryachnyk,” received UAH 6 billion from the Kyiv budget without a tender to complete the Podil Bridge, which is still not completed. Moreover, after the first “tranche”, the KCSA raised the cost of the bridge several times: first to UAH 11.2 billion, and then to UAH 19.9 billion.

So what’s going on with Kyivmiskbud?

Most likely, investors should not be happy about the change in KMB’s top management. On the contrary, under the auspices of the resumption of construction, the situation will repeat itself once again, but this time the entire budget will go straight into the pockets of Komarnytsky and his friend Klitschko, who allows all the schemes to be implemented.

And although the Pechersk District Prosecutor’s Office is still investigating the actions of KMB management in case No. 42023102060000233 under Part 4 of Article 191, and the Shevchenkivskyi District Court’s ruling in case 761/38344/23 of 08.11 obliged the SBI to actively assist and investigate the facts of the crime, we have what we have.

Law enforcement officers are unwilling to investigate the actions of “greased” persons. That’s why we are continuing. Soon, we will continue the investigation of the Kyiv City State Administration’s schemes and wardens.

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