Ukraine Central Banker Hit With Embezzlement Charges After Resigning For "Health Reasons"

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by Tyler Durden
Thursday, Oct 06, 2022 - 03:05 PM

Ukraine's anti-corruption bureau has sent a 'notice of suspicion' in an embezzlement case to a suspect at the central bank, days after Governor Kyrylo Shevchenko suddenly resigned, citing health reasons.

As Bloomberg notes, Shevchenko is not directly named - but the details provided match his CV. Authorities said in a statement that the individual was a senior official involved in an alleged scheme to bilk 206 million hryvnia ($5.6 million) from state-run Ukrgazbank between November 2014 and March 2020.

"The details provided matched the central banker’s career history," writes Bloomberg, which adds that his whereabouts is unknown.

Shevchenko submitted his resignation to President Volodymyr Zelenskiy on Tuesday, according to a statement posted on the central bank’s website. His departure is subject to approval by parliament in a vote expected later in the day. 

Investigators said that ex-Ukrgazbank chief executive officer and his two deputies channeled money out of the bank via payments for services to “pseudo intermediaries” who brought big clients to the lender. The services existed only “on paper,” as clients deposited money in the bank on their own initiative or according to rules set up by the government for state companies, the investigators said. -Bloomberg

In paid articles, Shevchenko touted Ukrgazbank as 'Ukraine's leading eco-bank,' and 'number one in the green energy space.'  It also bragged about 'improving corporate governance' to 'ensure maximum transparency and increase trust.'

Improving the corporate governance at the bank was a major strategic decision made in 2015. Independent advisors were added to the supervisory board, to ensure maximum transparency and increase trust from customers in the bank. These decisions were made despite there being no legal recourse to do so. -FP

The notice of suspicion was based on "questioning witnesses, searches, temporary access, information received from the bank’s clients, computers and checking mobile devices that included detailed emails between participants of the scheme and documents."

Just one question; did the big guy get his 10%?