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The Prosecutor's Office returned to the state the property of the Ministry of Defense worth UAH 1.5 million

At the request of the head of the Odesa Specialized Prosecutor's Office in the field of defense, the Supreme Court has definitively confirmed the invalidity of the contract, through which the state failed to receive rental payments.

In 2022, a private company and the Concern "Viyisktorgservis" entered into a contract that was formally called a service agreement but actually concealed the rental of warehouse premises of the Ministry of Defense of Ukraine with an area of 178 m² worth about 1.5 million UAH. 

Prosecutors proved that the agreement was concluded with gross violations of the law: without the mandatory approval of the State Property Fund of Ukraine, without conducting competitive procedures, without an independent property valuation, and without determining a fair rental price. Due to these violations, the state budget did not receive the appropriate revenues from the rental of state property, which caused losses to the state.

The Supreme Court rejected the cassation appeal of "Viyisktorgservis" and upheld the decision of the South-Western Economic Court of Appeal, which recognized the contract as invalid and obliged the private company to vacate the premises. The property has been returned to the state represented by the Ministry of Defense of Ukraine.