Despite pressure, appeals to the public organizations, complaints and numerous public accusations, detectives of the Economic Security Bureau served two executives of companies that produced canned goods with suspicion of tax evasion of UAH 32 million.

ESBU exposed the group of companies in tax evasion. They also established that they cooperated with a manufacturer of semi-finished products the beneficial owner of which is a citizen of the russian federation.

These companies operated in Kyiv region and manufactured canned food products which were supplied through intermediaries to the Ministry of Defence of Ukraine.

In order to evade taxes their officials involved current and former directors of the companies and individual entrepreneurs in illegal activities. All the companies used the same premises and employed the same people.

The scheme was as follows: the companies transferred funds to the accounts of individual entrepreneurs for allegedly rendering transport and other services. In turn, the individual entrepreneurs purchased raw meat for cash and supplied it to the same companies for the manufacture of canned products. At the same time the producers did not comply with sanitary standards which could have negative consequences for customers and consumers of canned food.

Business activities related to the sale and purchase of meat products with the real sector of the economy were not reflected in the tax reports.

Thus the state budget of Ukraine suffered losses in the amount of over UAH 32 million in unpaid taxes.

During the investigation the suspects tried to discredit the work of the detectives in every possible way: they appealed to individual entrepreneurs involved the media and publicly accused the Bureau of pressure, speculating about cooperation with the Ministry of Defence.

However, by court order the canned goods without documentary origin which were off the companies' balance sheets were seized. Two company executives were served with a notice of suspicion under Part 3 of Art. 212 of the Criminal Code of Ukraine.

The pre-trial investigation is ongoing. Prosecutors of the Prosecutor General's Office are providing procedural supervision.