The Bureau of Economic Security, together with the Specialized Prosecutor's Office for Defense of the Central Region, have exposed and are documenting a large-scale scheme of embezzlement of budget funds allocated for the needs of the military within the framework of the "Defender of Kyiv" program. According to the investigation, high-ranking officials of the Kyiv City State Administration, the municipal security department, the command of the 112th Terroir Defense Brigade, and a number of private firms are involved in the corruption scheme.
In 2023-2024, the Kyiv City Council allocated over 615 million hryvnias for the needs of the military unit of the 112th Brigade — 400 million of them this year alone. The funds were to provide the military with drones, equipment, supplies, etc.
However, according to criminal proceedings No. 42024100000000152 (Part 2 of Article 364 of the Criminal Code), a significant part of the funds was withdrawn into cash through fictitious companies and distributed among the participants in the conspiracy.
A key tool is the conclusion of direct contracts without tenders through Prozoro. This was made possible by government regulations that allow simplified procedures for defense procurement.
During the searches, law enforcement officers seized documents confirming the supply of goods at inflated prices. For example, in May 2024, the military unit concluded contract No. 80 with Robotics Solutions LLC for the purchase of DJI Mavic 3T quadcopters and other equipment. Similar agreements were concluded with a number of other companies.
Among the key firms involved in the case:
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Robotics Solutions LLC – contracts No. 80, No. 86, No. 126
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LLC "Robotrend" – contracts No. 121, No. 187
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Inflens LLC – contracts No. 80, No. 316
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LLC "Oil Trans", LLC "Domination Group", LLC "Weiss Institute", LLC "Bullet", LLC "Angie Pon", LLC "Mineral-Plus Company", and others
Most companies specialized in providing “commercial proposals” necessary for the execution of procurements, which could only be a cover for the legalization of transactions.
The prices in the documents significantly exceeded the market prices — in some cases by 2-3 times.
The investigation believes that officials of the 112th Brigade of the Ukrainian Defense Ministry, in collusion with representatives of companies, signed agreements at knowingly inflated prices. All stages — from choosing a supplier to signing acts — were instrumentalized for the purpose of misappropriating funds.
After transferring funds to the firms, the money was converted into cash through fictitious entrepreneurs and then distributed among the participants. This is a typical model of budget “kickbacks.”.
Despite the seriousness of the suspicions, there has been no public reaction from the Kyiv City State Administration or the municipal security department at this time. Meanwhile, according to law enforcement sources, the investigation is ongoing, and suspicions may soon be announced against individual figures in the case.
We will remind you that the “Defender of Kyiv” program was created with the aim of quickly providing the capital’s military and territorial defense with everything they need. However, like many other targeted initiatives, it has become another “feeding trough” for corrupt officials and businessmen who profit from the war.
