ESBU uncovers scheme for selling state bank collateral with losses exceeding UAH 20 million: real estate seized

 Detectives of the Territorial Office of the Economic Security Bureau of Ukraine in the Kyiv region have uncovered officials of a state-owned bank involved in the sale of pledged real estate at an artificially low price. As a result of these actions, the state incurred losses exceeding UAH 20 million.

The investigation established that officials responsible for managing the bank's assets sold the collateral property for significantly less than its actual market value.

The sale was conducted via electronic auctions; however, the value of the property was substantially undervalued during the pre-auction stage.

The assets in question are non-residential production facilities that had previously been mortgaged to the bank and were under its management at the time.

According to expert appraisal, the actual market value of the real estate exceeds UAH 41 million. However, it was effectively sold for approximately UAH 13 million.

Consequently, the state suffered losses of over UAH 20 million.

To prevent further alienation of the assets, the court granted a motion by ESBU detectives to seize the specified real estate.

The pre-trial investigation is currently ongoing to establish all the circumstances of the case and identify all individuals complicit in the matter.

Prosecutorial oversight is being conducted by the Kyiv Regional Prosecutor's Office.