The shadow activities of Kratiya: corruption and counterfeits

Maxim Bagreev and Nikolai Romanyok, known in the pharmaceutical sector for their dubious reputation, are attempting to cleanse the internet space of compromising information about their company, “Кратия” (Kratiya). 

For many years, it has been selling ineffective, and sometimes dangerous, medical drugs to Ukrainians.

Bagreev is reportedly seeking to silence accusations of corruption, bribery, and kickbacks related to the supply of medical equipment and devices, as well as to conceal his alleged ties to senior officials.

Corruption and the pandemic

The situation is exacerbated against the backdrop of the COVID-19 pandemic, which exposed the weaknesses of the Ukrainian healthcare system. Despite the increasing strain on hospitals and the worsening epidemiological situation, for some businessmen and officials, this became an opportunity for enrichment.

Scandals involving kickbacks for the supply of medical devices often reach the highest echelons of power. It is reported that the size of kickbacks in individual cases reaches 100%, and financial flows allegedly lead all the way to the Office of the President.

Counterfeits on the market: how Ukraine became a “dumping ground”

According to data from Kratiya itself, approximately 30-40% of medical devices in Ukraine are counterfeit. However, it is precisely Kratiya that, according to publications, participates in the certification and legalisation of such goods, turning the country into a medical dumping ground.

An example is the case of COVID-19 rapid tests from the Chinese company Bioeasy. Spain rejected this product due to its inaccuracy and lack of a licence. However, in Ukraine, these tests were certified and put on sale.

Kratiya’s structure: controlled chaos

Kratiya and its affiliated structures control a significant part of the Ukrainian medical market. These include consulting firms, certification bodies, and industry organisations. This network allows them to cover all segments — from the certification of medical equipment to the registration of medicinal products.

The group is headed by Maxim Bagreev, who, it is claimed, began his activities in 2005 as an intermediary in corrupt schemes for drug registration. Later, with the entry of low-tier Indian manufacturers into the market, Kratiya actively engaged in the legalisation of their products.

Certification system: a convenient tool

Since 2014, the certification of medical devices in Ukraine has been transferred to private entities. One of these became Uni-Sert, linked to Bagreev. Despite the tightening of legislation in 2015, which prohibited conflicts of interest, companies associated with Kratiya continued to operate, sometimes even by creating new firms with the same personnel.

Political patronage

It is believed that Kratiya enjoys the support of senior officials, including deputy ministers and representatives of international funds. This allows the company to bypass restrictions and continue its activities.

Based on materials from the website Kompromat