Water supply restored in Kherson region village for second year for 57 million

In Kherson region, a company with a dubious reputation will restore a water supply system for more than 56 million. In the past, the company has been accused of collusion in tenders and unfulfilled work.

This was reported by the Center for Public Investigations with reference to the DREAM ecosystem.

The village of Pravdyne in Kherson region is undergoing a major overhaul of its emergency water supply system. The work includes replacing five kilometers of worn-out pipes, installing modern pumping equipment, and repairing hydraulic structures.

Screenshot: DREAM

The project is being implemented under the Ukraine Recovery Program III with the support of the European Investment Bank and the Kherson Regional Military Administration. Its main goal is to provide about 1,500 villagers with stable access to drinking water, reduce resource losses, and improve sanitary and hygienic conditions.

According to the project description, Pravdyne's water supply system is in disrepair: pipes are worn out, pressure is unstable, and water is polluted by leaks.

The total project budget is UAH 57.7 million, of which UAH 49 million has already been confirmed. Funding came from the state budget, the reserve fund, and a subvention to communities.

Screenshot: DREAM

The tender for the restoration of the water supply system for more than 56 million was announced in October 2023. Three companies took part in the auction, and the winner was ABZ Prombud LLC with an offer 5 million below the expected cost. The works were to be completed on December 25, 2024, but from October 2023 to the end of December 2024, the contract was constantly amended. The latter stated that prepayment for the purchase of materials in the amount of up to 30% of the amount of work financing was possible.

According to the YouControl analytical system, ABZ Prombud LLC was registered in 2009 in Donetsk region with a registered capital of UAH 63 thousand. The founders are Serhii and Tetiana Kolos. The company has been mentioned in journalistic investigations since 2021. The company has earned UAH 1.5 billion in government contracts. The customers were departments of capital construction, village councils, utilities, etc.

Screenshot: Prozorro

According to the ruling of the Druzhkivka City Court, the company was also involved in a criminal case regarding abuse of office during the renovation of school No. 17 in Druzhkivka. The company received more than UAH 2 million in advance for the improvement of the school grounds in Druzhkivka, but the work was never carried out.

In addition, the Antimonopoly Committee accused the company of concerted anti-competitive actions together with the First Specialized Construction Company. The violators were fined UAH 272 thousand. As journalists discovered, the company also had ties to former Party of Regions members.

In June last year, the Capital Construction Department of Odesa City Council announced a tender for the repair and restoration of the Valikhovske building of the city's infectious diseases hospital. The winner without competition was ABZ Prombud LLC, which received the contract for UAH 148 million.

Анна Літман