In Kyiv, there is a systemic violation of the rules governing state procurement with budget funds, raising concerns among representatives of regulatory bodies and city authorities. At a meeting of the Kyiv City Military Administration, issues were discussed that indicate a large-scale tender chaos and the need for its swift regulation.
This is reported by Kyiv24
Main Issues in Procurement in the Capital
Before the meeting began, the head of the KMVA, Timur Tkachенко, emphasized that systemic violations in tender procedures remain unresolved. He stressed that the issue of procurement rule violations is on the agenda and requires prompt and effective action. The event was attended by city council leaders, including the first deputy head of the KMDA, Mykola Povoroznyk, and the director of the Department of Internal Financial Control, Oksana Koltyk.
Significant attention was paid to analyzing the situation by the head of the Territorial Office of the Bureau of Economic Security in Kyiv, Nazar Konstantinov. In his report, he stated that since 2024, specialists from the Bureau have provided 115 recommendations regarding identified violations in tender processes, of which only 17% have been implemented. This indicates a disregard for these signals by management, which could lead to increased financial losses for the city.
“According to the recommendations, urgent action must be taken, as the amounts in tenders reach hundreds of millions of hryvnias,” noted Nazar Konstantinov.
Mechanisms and Consequences of Tender Violations
According to the Bureau of Economic Security, the main problem is the inflation of volumes and costs of work, as well as the participation of dubious firms in the bidding that do not meet qualification requirements. Often, tender winners have minimal staff and insufficient equipment to implement large-scale projects, which is a sign of fraud and an attempt to divert funds into the “shadow”. Experts also recommend thoroughly examining contract terms before signing to prevent potential fraud.
However, unfortunately, many of the recommendations are ignored, and in cases of violations, court renewals of contracts are often initiated, delaying the implementation of important projects, including the construction of shelters for schools. As a result, the budget has to spend additional funds to return already paid amounts, while the level of irresponsibility and chaos in the procurement system in the country increases.
A representative of the State Audit Office emphasized during the meeting that over the past year, most tenders in the capital were conducted with violations, negatively impacting the transparency and effectiveness of budget fund utilization.
Concluding the discussion, Timur Tkachенко stressed the need to develop a clear algorithm for conducting tenders and ensure their transparent and fair reporting to the community, as this aligns with the interests of the entire capital and its residents.