Police uncover scheme to siphon UAH 21 million from oil and gas federation

Schemes for siphoning funds

Law enforcement agencies have uncovered the mechanism of potential abuse in the activities of the oil and gas industry employers' association. According to the investigation, officials organised the process of siphoning financial resources that were intended for the development of the oil and gas sector. This organisation is funded by contributions from major industry enterprises.

Allegations of forgery and creation of controlled structures

According to the investigation, the suspects may have forged decisions of the federation's presidium, created controlled structures, and extended their own terms of office until 2030. A representative of the Poltava branch, who has close ties with the federation's head, headed one of the public organisations established in this manner. Investigators believe that funds were subsequently siphoned through this structure.

The head of the newly created public organisation approached the head of the association with a request to provide UAH 21 million as non-repayable financial aid. Formally, these funds were to be used to carry out statutory tasks. The transfers were made in two tranches: UAH 5 million and UAH 16 million.

Details of bank operations and the scale of damage

According to police data, the received funds were placed in a deposit account. The interest accrued on the deposit was distributed at the recipients' discretion. Meanwhile, the donor companies that funded the federation's activities did not receive proper notification about the transfer of funds to a third-party organisation.

An analysis of bank operations revealed that over UAH 9.5 million from the second payment was formed from earmarked contributions of three major oil and gas sector enterprises. The investigation believes that these funds were used for purposes other than intended and without proper notification to the companies. Law enforcement officers estimate the total damage caused to the enterprises at nearly UAH 9.6 million.

Procedural status of the suspects

The head of the association was notified of suspicion in absentia, while the representative of the Poltava branch received a notification of suspicion. Their actions were qualified under Part 2 of Article 364 of the Criminal Code of Ukraine — abuse of authority or official position, which caused serious consequences.

The penalty for this article provides for imprisonment for up to six years, with possible disqualification from holding certain positions or engaging in certain activities.

The final legal assessment of the suspects' actions must be made by the court. In accordance with the principle of presumption of innocence, individuals are considered innocent until their guilt is proven by a guilty verdict of the court.