Former employees of Ukrzaliznytsia will be tried for overpayment of UAH 95 million on transformers

The Specialized Anti-Corruption Prosecutor’s Office together with the National Anti-Corruption Bureau submitted to the court an indictment against two former officials of Ukrzaliznytsia and two other persons suspected of illegal enrichment during the purchase of transformers.

According to the investigation, from June to December 2022, the so-called “back office” of JSC Ukrzaliznytsia contributed to the fact that a predetermined company, which was under the control of a citizen of the Republic of Belarus, became the supplier of power transformers. The equipment was purchased at a significantly inflated price.

Also, according to law enforcement, the “back office” organized the preparation and sending to the UZ a letter “Regarding threats to state security”. It was this document that became the basis for rejecting the offers of other tender participants, who offered significantly more favorable conditions. At the same time, the citizenship of the ultimate beneficiary of the company and its possible ties to Russia were not properly checked.

Later, the company that won the tender, through a controlled company registered in Bulgaria, purchased transformers from a manufacturer in Uzbekistan, and then resold them to Ukrzaliznytsia for almost twice as much.

“As a result of the implementation of the scheme during 2022–2024, Ukrzaliznytsia suffered losses in the amount of almost 95 million UAH, which the participants in the crime took possession of and disposed of at their own discretion.”

Currently, the court has decided to arrest 54.6 million hryvnias held in the bank accounts of the supplier company.