Basement renovation for 46 million in Pivdenne was given to a local company without auction

The Capital Construction Department of the Pivdenne City Council of Odesa Oblast has selected a contractor to overhaul a part of the basement of a lyceum.

The relevant announcement was published in the Prozorro electronic procurement system, according to the Center for Public Investigations.

The procurement was conducted in the format of open bidding with the peculiarity that Yuzhfasad Limited Liability Company was the only participant. The company expects to spend UAH 46 million 730.8 thousand. The company is to complete the works by December 20, 2026.

It is a major overhaul of a part of the basement of the Lyceum No. 2 municipal secondary education institution with the construction of a simple shelter to be used to shelter participants in the educational process.

According to the YouControl service, Yuzhfasad LLC was registered in Pivdenne in 2018. The owner of the company is a local resident Mykhailo Kurik.

Earlier, Yuzhfasad LLC won a tender in Berezanka despite the fact that its offer was more expensive than the competitor's. The cost of concrete mix in the approved estimate is 40-60% higher than the market average.

In December 2024, the same company received a contract from the Capital Construction Department of the Pivdennyi City Council in Odesa district without an auction for the overhaul of the canteen and food unit of the secondary specialized school of I-III levels No. 2 - center of out-of-school education - vocational school.

The company was linked to a corruption investigation in Yuzhne: the investigation found that contractors gave officials kickbacks of 15% of the contract amount. In 2023, the police and the prosecutor's office reported abuse of office by officials of the Capital Construction Department of the Pivdenne City Council. Investigators found that the officials had paid a private entrepreneur for repairs to a kindergarten that had not been completed. While examining the documents, they found a procurement of services for the overhaul of the elements of the improvement of the kindergarten No. 1 "Golden Fish" in Pivdenne at 5 Budivelnykiv Street. The procurement was conducted in October 2022 without using an electronic system, and the contract worth almost UAH 2 million went to Mykhailo Kurik, a private entrepreneur.

Кирило Бойко