Kyiv City State Administration Under Investigation Over City's Expensive Loans
In Kyiv, the case against the head of the Kyiv City State Administration’s Finance Department—who is suspected of professional negligence in handling municipal loans—has been referred to court. Investigators believe his decisions cost the capital’s budget more than 581 million hryvnias.
A case involving the city’s finances is unfolding in Kyiv, which could become one of the most high-profile cases in recent times, as investigators claim that due to the official’s decisions, the capital lost hundreds of millions of hryvnias on loan servicing, although, according to their version, it could have managed without these loans.
The Shevchenkivskyi District Prosecutor’s Office has filed an indictment against the head of the Kyiv City State Administration’s Finance Department. He is suspected of official negligence, which, according to the investigation, resulted in significant losses to the city budget—over 581 million hryvnias.
According to the investigation, over the course of several years, the official approved the issuance of local government bonds, which allowed the city to secure loans but also resulted in the city paying large sums in interest to service them. Investigators emphasize that budget revenues during that period exceeded expenditures, and therefore, there may not have been a need for additional borrowing. “Over the course of several years, the official approved the issuance of local government bonds, which led to the payment of significant interest on their servicing,” the investigation materials state.
In January 2026, the official was notified of the charges, after which the case moved to court. His actions were classified as official negligence that caused serious harm to state interests. “As a result of the official’s decisions, the capital’s territorial community suffered losses of over 581 million hryvnias,” the prosecutor’s office notes.
At the same time, the standard legal position applies in the case: in accordance with the Constitution of Ukraine, a person is presumed innocent until proven guilty by a court.
