AOZ Explained the Purchase of Grenade Launchers Following Searches at Ukrainian Armored Vehicles
The Defense Procurement Agency (DPA) has issued an official statement regarding the procurement of RPG-75M grenade launchers following announcements by the Security Service of Ukraine and the Office of the Prosecutor General regarding an investigation, as well as searches conducted at the company “Ukrainian Armored Vehicles.”
The Agency noted that the government contract was awarded to the bidder who offered an equivalent product at the most economically advantageous price.
“Based on the results of the procurement, the government contract was awarded to the bidder who provided an equivalent product at the most economically advantageous price,” the Agency reported.
The agency emphasized that price is the key criterion in selecting the winner, provided that the proposed products meet the established technical specifications.
The AOZ explained that after receiving the lowest price bid, they contacted military authorities to confirm that the proposed grenade launchers are equivalent to the products specified by the Armed Forces’ requirements.
“Since this supplier offered the lowest price, and provided that it meets the technical requirements, such a bid is deemed the winning bid, the Agency contacted military authorities to confirm that the proposed goods are equivalent to the procurement item specified in the requirements,” the agency noted.
After receiving this confirmation, as explained by the Agency, there were no legal grounds to reject the bid or to award the contract to other bidders who had offered a higher price.
The Agency also emphasized that advance payments on contracts are standard practice in the procurement of weapons and military equipment.
This mechanism applies to suppliers who:
- have no overdue high-risk accounts receivable;
- do not have a history of systematic contract breaches;
- have no other disqualifying circumstances, including criminal convictions.
At the same time, the Agency emphasized that if the Armed Forces of Ukraine’s logistics service rejects the products, the supplier will be required to return the advance payment received.
“If the goods are not accepted by the Armed Forces’ logistics service, a claim for the return of the advance payment will be sent to the supplier,” the Agency noted.
The Agency emphasized that it is systematically implementing mechanisms to minimize corruption risks.
At the same time, the Agency stated that if criminal proceedings establish facts of collusion between Agency employees and the supplier or other violations, the guilty parties will be held accountable in accordance with the law and the Agency’s internal anti-corruption policy.
“At the same time, if criminal proceedings establish that Agency employees colluded with a supplier or committed other violations, all accountability mechanisms provided for by law and the Agency’s anti-corruption policy will be applied to them,” the Defense Procurement Agency stated.
The Defense Procurement Agency published a clarification on Facebook.
Prior to this, Ukrainian Armored Vehicles LLC claimed that during a search, officers of the Security Service of Ukraine allegedly brutally beat the company’s first deputy director. The company asserts that the official sustained numerous injuries, including a concussion, and was hospitalized.
Prior to this, police detained an organized group that used forged documents to register state-owned land plots in the names of fictitious individuals for subsequent sale, causing significant losses to the state.
Law enforcement officials have notified the former and current directors, as well as the head of a department at one of the railcar manufacturing companies, that they are under suspicion. According to the investigation, they are involved in supplying substandard rolling stock to Ukrzaliznytsia, causing losses of more than 64 million hryvnias.
