THE PRICE OF CORRUPTION: Case #15. Feudals of Decentralization (Local Self-Government)
This publication is based on official investigation materials from NABU, SAPO, and court records from the High Anti-Corruption Court (HACC). We are breaking down this case to show the real consequences of corrupt abuses at the level of Amalgamated Territorial Communities (ATCs).
The Essence:
Systemic extortion of bribes for the allocation of land plots for development and receiving “kickbacks” from contractors performing work funded by the local budget.
The Situation:
Between 2023 and 2025, the head of a suburban ATC turned the community into his own “principality.” No decision regarding land lease or construction permits was made without the payment of a “contribution” ranging from $5,000 to $20,000. Additionally, tenders for road repairs and street lighting were won exclusively by companies affiliated with the head’s relatives, who returned 20% of the contract value in cash. The total amount of documented illegal benefits and losses to the community budget exceeded 30 million UAH.
The Bill Paid by Society:
- Stagnation of Infrastructure Development. Due to “kickbacks,” the quality of roads and utilities remains at a critically low level, even though millions have been spent according to documents.
- Discrediting the Decentralization Reform. Instead of effective self-government, citizens received a local dictatorship, which kills faith in democratic changes.
- Environmental Threat. Chaotic construction fueled by bribes, without regard for the master plan, leads to the destruction of green zones and the overloading of sewage systems.
The Bill Paid by the Perpetrators (Legal Finale):
- The Head of the ATC — received 10 years of imprisonment.
- The Secretary of the Land Commission — sentenced to 7 years of imprisonment.
- Full Confiscation: 8 land plots, a luxury mansion of 450 m², and a fleet of 4 elite cars were transferred to the state.
- Lifelong Disqualification: Deprivation of the right to hold positions in local self-government or state authorities.
Case Sources:
- Official press releases from NABU and SAPO.
- Verdict of the High Anti-Corruption Court (HACC).
- Asset declaration analysis via the “Bihus.Info” service.
We continue to issue these bills.
This publication is part of a series of analytical materials “THE PRICE OF CORRUPTION”. Each such case will be analyzed, and the price will be made public.
To be continued…