“Laundering” scheme totaling 12 million UAH due to the fictitious sale of fuel was exposed in Zhytomyr region

Specialists of Main Directorate of the STS in Zhytomyr region conducted analytical research on the basis of materials received from Department of the Security Service of Ukraine in Zhytomyr region. As a result, it was established that there was a number of business entities that were involved in the fictitious VAT tax credit formation scheme totaling more than 12 million UAH during 2019 – 2020 in Zhytomyr and Kyiv regions.

Employees of the Security Service of Ukraine carried out searches of offices and places of fuel storage in Zhytomyr and Kyiv regions using specified materials within the criminal proceeding under Part 3 Article 212 of the Criminal code of Ukraine. Interregional center, activities of which were aimed at tax evasion, were exposed and terminated. Center “serviced” a significant number of business entities – customers from several regions of Ukraine, “laundering” 12 million UAH.

It was established that organizer of the specified center was Kyiv businessman who was involved in the sale of fuel. He created a number of fictitious entities, through which, using individuals – entrepreneurs, he sold fuel for cash. However, according to official documents, the products were allegedly stored at an oil depot of a businessman in Zhytomyr region. This allowed the breaker of law to report about the presence of product residues.

Accountants “produced” documentation for the fictitious sale of fuel to customers of the center, among which was a big number of agro-industrial enterprises. This mechanism allowed “buyers” to illegally minimize payment of taxes to the state budget, including fictitious VAT tax credit and increasing the cost of growing and harvesting agricultural products. Organizers of the center received 5-6% of the turnover for their “services”.

Investigative actions are currently ongoing.