Suppliers deliberately disrupted the auction for food supplies for the army – investigation
The auction for supplying food to the Ukrainian army via the Prozorro electronic system didn't occur because most suppliers withdrew their bids, as reported by the Public Anti-Corruption Council under the Ministry of Defense on Facebook on March 6.
This followed the dismissal by the Kyiv District Administrative Court of a claim by one supplier challenging the draft contract requirements for army food procurement.
Read also: Two senior Ministry of Defense officials now suspects in procurement scandal
Atomservice, a major food supplier to the Defense Ministry, sent a letter to Minister Rustem Umerov, his deputy Dmytro Klimenkov, and DOT head Arsen Zhumadilov, implying non-participation in future tenders unless participation conditions changed. Subsequently, after a potential supplier lost in court, almost all bidders withdrew from the Prozorro auction.
Tetyana Nikolayenko, a council member, denounced suppliers' actions as unacceptable, likening them to blackmail. She advocated for purchasing food by individual groups, echoing the State Budget Office's original proposal. Despite bidding disruptions, food supply for the army continues under existing contracts, with additional direct contracts signed by the Ministry of Defense.
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In early 2023, Yuriy Nikolov's article on ZN.ua revealed the Ministry of Defense's food purchases at inflated prices compared to Kyiv stores, citing documents from an Armed Forces source. The Ministry initially disputed the claims as deliberate manipulation, as did supplier Aktiv, implicated as a "finance pad" in Nikolov's article.
Former Defense Minister Oleksiy Reznikov admitted contract inaccuracies under review. Amid the scandal, Deputy Defense Minister Viacheslav Shapovalov resigned, and Bohdan Khmelnytskyi, head of the Defense Ministry's procurement department, was dismissed.
Reznikov proposed a food reform in the Armed Forces post-scandal, coinciding with the Verkhovna Rada passing a bill for a transparent defense procurement system, requiring price publication for Prozorro purchases.
Additionally, NV Business reported in early January that Tetiana Hlyniana, a major supplier to the Defense Ministry, acquired companies and hotels in Split, Croatia. Following media scrutiny, she opted to sell the hotels.
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Read the original article on The New Voice of Ukraine
