Communal feudalism and corruption schemes: why Groysman's ally inherited a water utility in Vinnytsia to his son
Kyiv • UNN
Former Deputy Prime Minister Groysman and his associate Kistion are involved in corruption, and Kistion's son inherited the management of a large utility company despite ongoing investigations into their activities related to misuse of state budget funds and nepotism.
Ukraine suffers from systemic corruption that permeates all spheres of life. One of the most prominent examples of corruption schemes is the case of alleged misappropriation of state budget funds with the assistance of former Deputy Prime Minister Volodymyr Groysman and former head of Vinnytsiaoblvodokanal, now First Deputy Chairman of the Vinnytsia Regional Council Volodymyr Kistion. These schemes revealed how high-ranking officials can abuse their position and illegally enrich themselves at the expense of funds intended for the development of infrastructure and vital services for the population, as well as how they retain control over the enterprises in question without even being in charge of them, UNN reports .
Details
Volodymyr Kistion acted simply but effectively - in 2022, he managed to get his son, Dmytro, appointed as the head of Vinnytsiaoblvodokanal, a utility he knew well.
It is worth mentioning that Dmytro Kistion's education allows him to pursue a career in the water supply sector. Like his father, he graduated from the Odesa State Academy of Civil Engineering and Architecture and received a master's degree in water supply and sewerage.
After receiving his diploma in 2013, Dmytro was immediately appointed Deputy Chief Engineer of Vinnytsiaoblvodokanal. Since November 2016, he has held the position of Deputy Head of Vinnytsiaoblvodokanal, and on January 01, 2019, Dmytro Kistion was appointed First Deputy Head of Vinnytsiaoblvodokanal.
In May 2022, at the session of the Vinnytsia Regional Council, Dmytro Kistion was approved as the head of the Vinnytsiaoblvodokanal. In fact, nepotism is not yet a criminal offense in Ukraine, and Vinnytsia residents have more serious claims against Volodymyr Kistion than the promotion of their son. If not for a bunch of "buts"...
It all started with Mix Light, a company founded in Vinnytsia in November 2016. One of its founders is Dmytro Volodymyrovych Kistion. The value of the tenders won by Mix Light grew rapidly every year, from almost one and a half million hryvnias in 2017 to more than fifty million hryvnias in 2018. It seemed that this company was successfully working in the field of construction and reconstruction.
The case of Dmytro Kistion and his company Mix Light began in August 2018, when the Investigation Department of the Main Department of the National Police of Ukraine in Vinnytsia region initiated criminal proceedings. The defendants in the case were officials of Mix Light and Vinnytsiaoblvodokanal.
According to the court ruling, the two companies signed a contract for the reconstruction of a section of the pressure sewer collector worth more than UAH 1.3 million. However, according to forged documents, the work was not performed and the funds were misappropriated.
During the investigation, it became known that Dmytro Kistion withdrew from the founders of Mix Light two months before the start of the criminal proceedings. He was replaced by Valeriy Choban from Odesa region. The suspicious change of founders only emphasizes the intention to avoid responsibility and maintain control over the company.
Further investigation revealed that the Road Service in Vinnytsia region had signed a contract worth more than UAH 14 million with Spetsbudstroymontazh. This company was linked to corruption schemes and misappropriation of public funds.
An in-depth analysis revealed that Spetsbudstroymontazh was the new name of the former Mix Light company, in which Dmytro Kistion was no longer a founder. During the investigation, it became clear that companies associated with Dmytro Kistion were illegally enriching themselves at the expense of public funds. The works for which the contracts were signed were not performed or were performed poorly. Thus, funds intended for the development of infrastructure and vital services were misappropriated by individuals associated with the abuse of power.
The Kistion family has always been closely connected not only with water supply, but also with the construction business, which has long been personally supervised by Volodymyr Groysman himself in Vinnytsia. Accordingly, the social circle of Volodymyr Kistion and his son consists of businessmen-builders. For example, Anatolii Hennadiiovych Koscheiev, director of Vinnytsia-based Promspetsservice LLC and Teplo-Zahyst PE, both located at 5 Vyshneva Street, is close to the Kistion family. The owner of these companies is Anatolii's brother, Yurii Hennadiiovych Koscheiev. He also owns a building at this address, as well as a 0.14-hectare land plot leased from Vinnytsia City Council.
Interestingly, there are 8 other companies registered at the same address - with different managers and owners, but all of them are also engaged in construction or supply of construction materials. Dmitry Kistion has long been friends with Anatoly's son, Ivan, or Vanya Koshcheevas he identifies himself on Russian social media. At one time, they used to spend a lot of time together in nightclubs in Vinnytsia. Vanya is to the right of Dmitry.
In December 2012, Ivan Koscheev, a student of VNTU, presented a project on the use of solar energy in the heat supply system to the then mayor of Vinnytsia, Volodymyr Groysman, and was enrolled in the personnel reserve of the Vinnytsia City Council.
But his career in the city council did not work out. Ivan Anatoliyovych Koscheiev connected his life with science and now works as a graduate student at the Department of Heat and Power Engineering of Vinnytsia National Technical University, is a co-owner of patent No. 101177 for a biogas plant with a heat pump, and also advises on informatization issues as an individual entrepreneur. Any person's social circle is his or her own business. No matter how much corruption is involved. Corruption schemes require the involvement of many trusted people who are used to register companies, individual entrepreneurs, sign contracts and win tenders.
The Kistion family's schemes are a vivid example of how high-ranking officials can abuse their position and misappropriate state budget funds. These schemes damage the infrastructure and bleed the financial capacity of local communities.
A thorough investigation must be conducted and all those responsible must be punished to prevent similar cases from occurring in the future. This is the only way Ukraine can change its face and begin the path to a transparent and honest society.
To recap.
We have already written about how in Vinnytsia region firms involved in criminal cases continue to use budget funds.
