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On March 19, Pecherskyi District Court in Kyiv City will consider the petition for termination of a criminal case of theft of USD 200 million from Ukrsotsbank by officials of the ISA group of companies. A ruling to that end was passed on Thursday, March 1, by the Pecherskyi District Court Judge Rodion Kireyev, the Bank’s representative, representative of Ukrsotsbank a member of Unicredit Group Yehor Shtokalov said.
According to the lawyer, in 2005-2011, Ukrsotsbank issued nearly USD 200 million worth of credits to ISA Prime Developments Private Joint-Stock Company, Joint Venture NSI Construction Private Joint-Stock Company, UIP Ltd. Private Joint-Stock Company, Ukrzhylbud Corporation Private Joint-Stock Company, Strizh Invest LLC. "The borrowed funds were to be used for construction of commercial real estate assets in Kyiv. However, the assets were taken from pledge, which resulted in Bank beginning to take steps to recover the loan", the lawyer said.
According to Mr. Shtokalov, Ukrsotsbank was negotiating debt restructuring with the founders and management of those companies. "Since this is the country’s largest problem loan for the time being, the Bank proposed unprecedent solution beneficial for both parties - payment by instalments at a low interest rate over a long period. At first, the company leadership in the person of Oleksandr Bashenko and Andriy Tsygankov agreed to such conditions. However, at the end of 2011, they refused to sign the relevant papers for unknown reasons", elaborated the lawyer.
According to his words, exactly for this reason the Bank decided to apply to the Main Investigation Department of the Ministry of Police with a petition of theft of funds extended to the borrower, requesting instigation of a criminal case. In turn, representatives of the ISA group of companies lodged an appeal at Pecherskyi District Court in Kyiv City against the order on institution of criminal proceedings.
"The Bank learned about the claim for termination of the case on the eve of its consideration by chance, and filed a petition for its (the Bank’s) involvement in the proceedings as the party that had filed the petition for instigation of a criminal case. The trial was fixed for March 1 at 9:10am, but neither the applicant – the company founder, nor his attorney appeared in the court. Judge Rodion Kireyev accepted the petition by Ukrsotsbank PJSC for the Bank’s involvement in the proceedings and for postponement of examination of the appeal", said the lawyer. Furthermore, according to his words, representatives of the General Prosecutor’s Office of Ukraine also filed a petition for postponement of examination of the case in connection with the applicant’s non-appearance and the need to examine the documents. The Judge granted the petition and postponed the trial till March 19.
According to published sources, the shareholders of ISA Prime Developments, NSI Construction, UIP Ltd., Ukrzhilbud Corporation, STRYZH Invest or otherwise persons related to foundation and functioning of these companies are Kiev businessmen Alexander Bashenko, Andriy Tsygankov, former MP Oleg Andreichev, former head of the department of currency control and licensing of the National Bank of Ukraine Alexander Bilanenko. The main assets that are under development of these companies are office centres Horizon Park Business Center, Horizon Podil, Horizon City in Kyiv (the latter two currently at the design and construction phase). According to the Forbes Ukraine Rating of Landlords, the annual rental income of the owners of those business centres comprises USD 20 million.