Due to overcrowding, the Lutsk community is renovating its landfill. However, law enforcement officials have taken an interest in the use of public funds and suspect embezzlement. During the investigation, assets belonging to the contractor—who has been implicated in similar cases on multiple occasions—were seized.
This was reported by the Center for Investigative Journalism "The Power of Truth," citing rulings from the Lutsk City and District Court.
The "most expensive" contractor for the reconstruction
Every year, the landfill near the village of Bryschi receives approximately 100,000 tons of household waste. It covers an area of about 28 hectares, but this is no longer sufficient for waste accumulation—the landfill faced the threat of overflow as early as 2020. This could have caused extremely negative environmental consequences, so the Lutsk authorities began discussing the reconstruction of the old part of the landfill.
The city council estimated the total cost of the work at 600 million hryvnias and began searching for a contractor.
One of the most active bidders was the Kyiv-based company “Budmontazhservice I”. Over four years – from 2020 to 2024 – the company won seven tenders, signing contracts worth UAH 189.5 million. In the largest tender for UAH 138.6 million, the amount was reduced by UAH 3 million, so the current total value of the contracts was later adjusted to UAH 48.6 million.
Notably, in 2024, the Engineering and Production Center “Vektor” from Irpin offered to repair the leachate collection and drainage system for 2 million UAH less. However, the tender committee rejected this proposal, citing documentation issues.
The contractor came under police investigation
The contractor repeatedly selected by the Department of Housing and Utilities of the Lutsk City Council and “Lutskspetskomuntrans” has drawn the attention of law enforcement. They are investigating possible embezzlement or misappropriation of state funds during works at the Bryshchi landfill.
In February, searches were conducted at the “Budmontazhservice I” office in Novodnistrovsk, and in March, the seized equipment and documents were placed under arrest. The court also granted police access to the documents of the utility “Lutskspetskomuntrans” and to the supplier company that provided materials. This company supplied geotextiles and bentonite mats for the landfill reclamation.
A company with a checkered history
According to “Syla Pravdy”, this is not the first such investigation involving “Budmontazhservice I”.
Specifically, the alleged embezzlement of budget funds was the subject of a case concerning works on the reconstruction of “Natalka” park in Kyiv. The company was also mentioned in a National Anti-Corruption Bureau of Ukraine (NABU) investigation regarding the construction of fortifications in Sumy region, where the possible misappropriation amounted to UAH 480 million.
Overall, during ten years, “Budmontazhservice I” received state contracts totaling almost UAH 1.3 billion.
Earlier, EcoPolitic reported that in Volyn region as well, funds intended for the reconstruction of treatment facilities were likely embezzled. At the same time, the work was performed poorly, and effluents continue to pollute the waters of the Styr River.
