VAB Bank: NABU Finds No Evidence of Losses to the State or Collusion between Bank Shareholders and NBU Leadership

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NABU and SAPO have reported that they have completed their investigation into the case involving the UAH 1.2b stabilisation loan extended to VAB Bank by the National Bank of Ukraine. We are happy to congratulate NABU on completing their investigation that found no evidence of collusion between Oleksandr Pysaruk and Oleg Bakhmatyuk, which was their principal allegation that triggered the case. No evidence of losses to the state was found either, as we have argued over the past several years.
The case has been investigated for over 6 years. It was previously closed by court order for failure to find evidence of a criminal offence and wrongfully reopened again by ex-Prosecutor General Ruslan Ryaboshapka to be once again taken to court.
The investigation ended abnormally with the case eventually going to court under Article 364 – abuse of office or power – which only goes to show that the charge of collusion is no longer being pressed. The investigation produced no evidence of losses to the state either.
Just to remind you of the damage done by the 18-month-long investigation by NABU to the Ukrlandfarming company and Oleg Bakhmatyuk personally, the improper pressure on the business cost 13 thousand Ukrainian jobs. In the last year alone, the government collected UAH 1.5b less in taxes with the company having paid UAH 7.7b in taxes over the previous three years. 37 production facilities were lost with state-of-the-art animal farms forced to close down including unique breeding facilities; egg prices have skyrocketed as egg farms are closed down under pressure from reduced production.
We look forward to a fair and impartial trial to establish the truth and dot all the i’s over this story, which caused losses to all parties involved, business and state alike, a story that has no winners.
We remain committed to a constructive resolution of bank debt caused by the recent wave of bank bankruptcies, aka the Bank Fall. This approach is also supported by the State Deposit Guarantee Fund and our international partners as a civilised and sensible resolution scenario.