Tuesday, March 20, 2007

Moroz's corrupt VAT lobbying

Documents in the possession of "Glavred", attest to the fact that BYuT and the SotsPartiya Ukrainy are much closer than it would seem, particularly in business matters.
The above-mentioned periodical today publishes copies of two letters hand-written by VR speaker and veteran Ukrainian Socialist leader Oleksandr Moroz to the MinAgroPolitiki, and to vice PM Mykola Azarov, in which he shamelessly lobbies the interests of a private company "Kreativ' co-owned by Kirovograd deputy mayor and wheeler-dealer , BYuT member Stanislav Berezkin.

In the first letter, to the Minister of Agrarian policy Yuriy Melnyk, dated 15th December 2006, Moroz describes 'Kreativ' as a company that "actually works at the solution of a strategic problem - the production of bio-fuel, and can ensure large investments for the development of corresponding capacity". Oleksandr Moroz requests the company is put on the "list of enterprises, called up to the appropriate program". 'Glavred' says that he is talking about the granting of tax privileges.

The second letter, dated 28th February 2007, is to the first vice- premier Mykola Azarov and asks for"assistance in resolution of a question about the compensation of VAT for the same "Kreativ".

The letters were written at the request of Socialist deputy Mykola Sadoviy, in order that "Kreativ" receive 3,3 mln. hryven VAT refund. Sadoviy was once head of the Kirovovhrad SPU regional committee, and Stanislav Berezkin is his regional compatriot. Sadoviy, naturally receives a cut of the refund.

Stanislav Berezkin has been investigated in the the past by Kirovograd organized crime investigation administration on suspicion of abuse of official position during his work in the city hall, and machinations involving municipal property.

The ' Glavred' piece has many more details on the VAT scam being pulled by 'Kreativ' in this case.

LEvko says it's an example how politics in Ukraine all too often works. Ukraine is a deeply corrupt country - this story will hardly cause a ripple.

ps Azarov, a VAT fiddle specialist, has some shady business connections in Kirovohrad too.

No comments: