MP's company in Odesa received 33 million for contracts by the end of the year

In Odesa, the City Roads utility company has selected a contractor to restore the road surface after repairs to heating networks. The only bidder was Rostdorstroy, a company associated with the former Odesa authorities and numerous criminal cases.

This was reported by the Center for Public Investigations.

In early November, City Roads announced a procurement for more than UAH 33 million. It was about landscaping and repairing the road surface after the work of heating companies. Only one company, Rostdorstroy LLC, applied for the tender, so the auction was not held. On November 10, the company announced its intention to sign a contract with this contractor. The works are scheduled to be completed by the end of 2025.

SCREENSHOT: Prozorro

The company has been operating in the market since 2005. Its ultimate beneficiaries are Yurii Shumacher, a deputy of Odesa City Council from the party "Trust the Deeds," and businessman Yevhen Konovalov. The company is associated with the RDS group, which also includes Kyivshlyakhbud and RDS-Poltava. According to YouControl, in recent years alone, the company has received government contracts worth more than UAH 87 billion.

Earlier, Nashi Hroshi wrote that the company has close ties to former mayor Hennadii Trukhanov. Rostdorstroy purchases most of its construction materials through the Squo company, which is controlled by his daughter Kateryna. The company also cooperates with Avtomagistralya-Pivden - both are tender partners and members of the National Association of Road Workers of Ukraine.

SCREENSHOT: YouControl

The company is also involved in a number of criminal proceedings, ranging from price gouging and negligence to possible misappropriation of budget funds. The cases include an investigation by the Prosecutor General's Office into the legalization of almost UAH 273 million, as well as episodes in which Rostdorstroy and Avtomagistral-Pivden were suspected of paying kickbacks to Road Service officials.

The Center forPublic Investigations wrote that in 2023, it received the largest contracts of the Infrastructure Restoration and Development Service in Odesa Oblast - two contracts worth about UAH 5 billion, concluded without open bidding. Despite its scandalous reputation, the company continues to receive contracts throughout Ukraine.

Анна Бальчінос