$ 44.34 € 51.48 zł 12.13
+19° Kyiv +17° Warsaw +15° Washington

Ukraine's gas transmission system operator purchased concrete blocks for energy facilities at twice the market price

UA NEWS 04 June 2026 10:50
Ukraine's gas transmission system operator purchased concrete blocks for energy facilities at twice the market price

The state-owned enterprise "Gas Transmission System Operator of Ukraine" (GTSO) purchased concrete blocks to protect gas transmission system facilities at inflated prices through fictitious intermediary companies. 

To date, the state budget has already lost approximately 70 million hryvnias on completed contracts, and the total amount of potential overpayments for infrastructure protection projects could reach at least 150 million hryvnias.

Ukrainian MP Yaroslav Zheleznyak officially announced the large-scale embezzlement of funds during the war and the ongoing massive shelling of the energy sector. 

According to the parliamentarian, the winners of defense tenders were most often three interconnected legal entities: “Building Group-A,” “GP Skhid-Agro,” and “A-Prom.” 

The essence of the corruption scheme turned out to be extremely simple—intermediaries purchased blocks from actual manufacturing plants and resold them to the state at a markup of nearly 100%.

“And then it’s very simple. The company buys blocks from a real factory and sells them to the state for almost twice the price. For example, ‘GP Skhid-Agro’ buys blocks for 7,000 UAH, and OGTS sells them for 14,000 UAH. Or another example: a block that costs about 6,000 UAH at the factory, OGTS buys from “Building Group-A” for nearly 12,000 UAH. And this markup applies to almost all items in the contract,” the lawmaker noted.

The official added that concrete products were often transported directly from the premises of actual factories, although in their reporting documentation, the winning firms listed themselves or affiliated entities as the manufacturers. 

At the same time, the identified “concrete giants” actually have no production facilities, warehouses, or the necessary staff of their own. 

Oleg Doronin, the security director of OGTS, who has headed this department for several years, was responsible for coordinating and making decisions regarding these procurements at the company. According to the MP, the official was brought to the company by Rostislav Shurma, the former deputy head of the Office of the President.

This was reported by MP Yaroslav Zheleznyak.

The director of a Kyiv lyceum embezzled nearly 8 million hryvnias from employees’ salaries

As a reminder, Kyivzelenbud employees embezzled nearly 5 million hryvnias while fighting ragweed.

Additionally, 750,000 hryvnias were embezzled during the renovation of a sports school in Kyiv.
 

Read us on Telegram and Sends

Завантажуй наш додаток