The State Investigation Bureau estimated that Kyiv is losing up to Hr 10 billion ($375 million) a year, due to corruption among city authorities.
The bureau’s estimates have been published on its website on Oct. 4.
The announcement came amid the ongoing conflict between President Volodymyr Zelensky and Kyiv Mayor Vitali Klitschko. Zelensky had previously accused Kyiv authorities of corruption, while Klitschko called it political pressure.
Read more: Klitschko, Zelensky bump their heads over Kyiv, again
According to the bureau, Kyiv’s yearly budget is Hr 60 billion ($2.5 billion), approximately one-sixth of which gets diverted into the pockets of local officials.
“The leadership and officials of the Kyiv City State Administration, using their powers, established stable corruption schemes,” the statement reads.
According to the bureau, embezzlement was conducted by the uncontrolled distribution of funds among the 128 municipal utility service companies. Utility companies received about Hr 20 billion ($750 million) in 2021.
Law enforcement agencies have long been on Klitschko’s tail.
Starting in early May, the State Fiscal Service and the Kyiv prosecutor’s office conducted nearly 70 searches alleging corruption, tax evasion, abuse of office, embezzlement and fraud among Kyiv city officials. A total of 11 people were charged, most of whom are incumbent officials connected to Klitschko.
The Investigation Bureau opened investigations into alleged corruption against at least 11 municipal enterprises including Kyivpastrans public transport operator and Kyivvodokanal water supply entity. The bureau didn’t publish the names of suspects.
Many Kyiv municipal enterprises are notoriously famous for poor service and outdated equipment.
Klitschko denies wrongdoing.
Throughout his seven-year rule, Klitschko and his associates have been the subject of multiple journalistic investigations, accused of embezzlement and corruption. Yet Klitschko’s approval hasn’t been shaken by his shortcomings. Some believe that Zelensky might see Klitschko as one of his potential political opponents.
