The Commission of the Kyiv City State Administration for analyzing the financial and economic activities of municipal enterprises for the first half of 2024 summoned the heads of municipal enterprises to report on their operations.
They presented their reports. Assessments were made by the relevant deputies of the head of the KSCA, department directors or their deputies, and other city officials. These reports were publicly showcased on the KSCA's YouTube channel.
And what was the outcome? To put it bluntly: a mountain of "reports" resulted in a mouse of real consequences. Among hundreds of municipal enterprises, only five under the management of the KSCA were deemed unsatisfactory!
This is stated in the response of the KSCA to an information request from the editorial team of “Kashтан NEWS.”
Who fell out of favor? Two municipal enterprises under the Department of Health, two municipal enterprises from the Department of Transport Infrastructure, and one enterprise overseen by the KSCA apparatus.
Among the municipal enterprises transferred to district state administrations, only the Auto Transport Enterprise of the Shevchenkivskyi district was found unsatisfactory.
Now, let's get a bit more specific about those who faced the wrath of the city authorities. The KSCA's response indicates that the administrations of the Children's Clinical Hospital No. 9 in the Podil district and the Kyiv City Children's Clinical Tuberculosis Hospital performed poorly.
There were negative assessments for "Kyivtransparkservice", the auto transport enterprise "KATP No. 273904", and the municipal enterprise "Avtotransportnyk". That's the full "harvest" of the Commission.
1 Perhaps there is a reason for the head of the Department of Health, Valentyna Hynzburg, to criticize the management of the city children's tuberculosis hospital, which is facing significant creditor debt, and also has a current salary arrears of 2 million 41 thousand hryvnias. But why do others, who also have complaints against them, receive good evaluations? For example, the "Kyiv City Clinical Oncology Center". Valentyna Hynzburg stated during the Commission's review that the medical institution has "very low own financial revenues." This raises eyebrows. After all, the oncology center is equipped with high-tech modern medical equipment and specialized technology. Hynzburg expressed her confusion as to why other medical facilities, which lack such modern technical support, report official own revenues of up to 16 million hryvnias, while this powerful oncology center only has 2 million 761 thousand hryvnias from paid medical services. "How can this be explained?" – Hynzburg questioned. She continued to ponder that important aspects of the center's operations remain unclear: "I don't understand what patients are paying for if there are such minimal revenues (financial)."
2 All this cannot help but suggest a certain subjectivity in the Commission's work.
Just think about it: only five enterprises in a kind of "black list." Out of more than a thousand municipal enterprises!
Meanwhile, in the first half of 2024, the prosecutor's office submitted 86 indictments against 87 individuals to the court. Most of the suspects are various levels of managers. The amount of damages in criminal proceedings that have already been completed amounts to 554 million hryvnias.
Last year, 80 criminal proceedings involving 97 defendants were submitted to the court, including 49 officials from the KSCA and municipal enterprises (45 of whom are in management positions). The budget suffered losses amounting to 510 million hryvnias.
And this is not just journalistic statistics. Such data was voiced by the first deputy head of the Kyiv City Prosecutor's Office, Maria Vdovichenko, in July 2024 during a meeting of the Temporary Special Commission of the Verkhovna Rada of Ukraine on monitoring and assessing the effectiveness of local self-government bodies and local executive authorities in the city of Kyiv – the capital of Ukraine during martial law.
Criminal offenses were uncovered in road management, transport infrastructure, landscaping, improvement, housing fund management, medical, educational, ritual spheres, and municipal safety. In other words, theft, abuse of office, and dubious combinations are happening almost everywhere.
Yet the KSCA claims that only five enterprises managed poorly! Everything else is successful? No, this is just some kind of reflection. Or perhaps it involves scapegoats...
Doesn't it seem to you that one of the reasons for the division into "good" and "bad" is that people from the immediate circle of the city's leadership stand behind the directors of those enterprises? There are "insiders" and "outsiders." For instance, during 2023-2024, nine indictments against officials from the Directorate for the Construction of Road Transport Facilities in Kyiv and contracting organizations have been submitted to the court. This concerns the construction of the Podilsk-Voskresensky bridge crossing.
3 A year ago, the prosecutor's office appealed in a letter to the city leadership to pay attention to the fact that this grand construction project has never been under audit scrutiny. The prosecutor's paper was put in a long drawer. The prosecutor's office did not receive any response!
And analyze what is happening with street trading. The KSCA Commission heard the report from the head of the municipal enterprise "Kyiv Heritage," which also oversees street fairs. In the first half of the year, the enterprise generated an income of 5 million 109 thousand hryvnias from seasonal agricultural and thematic fairs, which is 1 million 81 thousand hryvnias less than planned. They explain that the decline in income is due to objective reasons. So why do we not hear a public evaluation of the activities of this municipal enterprise from the KSCA leadership?
Among the five municipal enterprises that received "unsatisfactory" ratings, we do not see "Kyivvodfond." Although it is known that law enforcement has established that not everything is in order here. Indeed, a construction contract was concluded between "Kyivvodfond" and a private company for the construction of a well complex on Perova Boulevard in the Dniprovskyi district. The territorial community of the capital suffered damages of nearly 200 thousand hryvnias. The employees of the municipal enterprise have been notified of suspicion, reports the city prosecutor's office.
4 Earlier in this criminal case, suspicion was announced to the former deputy director of the mentioned enterprise for misappropriation of budget funds during the construction of an artesian well on Vyshgorodskaya Street. The amount of damages exceeds 580 thousand hryvnias. It is known that Svitlana Kozlovska heads the municipal enterprise. She was appointed director of "Kyivvodfond" in September 2015. Thus, these are individuals who have long been part of Klitschko's team.
There is also another municipal enterprise outside the KSCA's criticism – Kyiv Investment Agency. This municipal enterprise achieved only 50 percent of its revenue plan in the first half of the year. The actual income is three million hryvnias. For years, the city community has not seen the implementation of "socially significant infrastructure and other projects." Once, the mayor allowed himself a light criticism, stating that the Kyiv Investment Agency should work more effectively and create better conditions for investors. After that, it was again silence and bliss at the municipal enterprise.
So what did the KSCA Commission decide? After the investment agency presented its report, the first deputy head of the KSCA, Mykola Povoroznyk, suggested not to assess the head of the enterprise today but to do so at the end of the year. In other words, to wait. Bravo, Mr. Povoroznyk! What a strange leniency, right? The enterprise is led by Bohdan Chornyi, a Kyiv City Council member (UDAR faction). He is also part of the mayor's team. Perhaps this explains the loyal attitude towards him in the KSCA.
5 Let’s recall: as reported by "Kashтан NEWS", among the most loss-making enterprises at the end of 2023 is the Kyiv Investment Agency, which has losses of 3 million 17 thousand hryvnias.
The Commission did not risk giving a bad assessment to the administration of the Zhytniy market, which claimed that it lacked funds to repair even the roof for winter. They also explained the disappointing financial indicators by saying that, for some reason, entrepreneurs at the market are not rushing to rent trading spaces.
Some enterprises were reprimanded by the commission:
“This is not work, but parasitism on communal property!”.
The salaries of directors and accountants of municipal enterprises are rising like yeast, yet effective work is nowhere to be seen; however, budget funds flow here steadily.
Many accountants from the enterprises during the report could not even answer a simple question: from what reserves have salaries been significantly increased? And the commission "swallowed" this...
The reality is that many enterprises have not fulfilled financial plans and are operating at