We demand prosecution for those involved in the victory of a company, which crafted poor quality markings in Kyiv

Місто Київ, 25.01.2016 Центр Протидії Корупції – громадська організація, яка об’єднує експертів з юридичного, медійного та громадсько-політичного секторів.
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Пиляють ~ 13 860 000 грн

LATEST NEWS OF THE CASE:

The “Anti Corruption Action Centre” drew attention to the 17.06 million UAH agreement for the marking of roads in Kyiv. Evidence suggests that Kyiv State City Administration (KSCA) and “Kyivavtodor” contributed to the victory of a particular company, which later crafted poor quality markings.

Particularly, the company that should have won the competition said the tender committee allegedly made misprints in writing the proposals. Moreover, in the end it was the markup that did not meet the state standard, and the economical savings were cashed through fictitious companies.

So, we appealed to the Interior Ministry, the KSCA, the Anti Monopoly Committee, the State Financial Inspection and “Ukravtodor” to check the circumstances surrounding the tender, and to bring to justice those responsible. The SFI promised to look into the purchase. We are currently waiting on answers from other institutions.

BOTTOM LINE:

According to the requirements of the State Standard of Ukraine, red, white, orange, and blue paint colors should have a reflective effect. The reason is so that when driving at nighttime a driver can see the markings.

How “Our Money” writes, in January of 2015 the “Kyivavtodor” corporation asked the Department of Transport under the infrastructure of the KSCA to allow the tenders to exclude technical requirements for the materials that make the reflectors. The KSCA granted this request.

Фото Наші Гроші

Фото Наші Гроші

However, on February 11th in the published tender documentation it states that marking the roads must comply with the norms of the State Standards Agency, namely using paint for marking roads that has a reflective effect. Nevertheless, on 24.02.2015 at the request of LLC “Color S.I.M”, the tender committee approved the tender documentation clarifications, which allowed the tender participants to carry out road marking without using reflective materials.

The requirements for bidders also included a number of discriminatory items. In particular, potential participants should have rented a base in Kyiv and have experience of working in cities with a population of one million and more (Kyiv, Kharkiv or Odesa).

 

 

As a result, five members were involved in the bidding:

 

Three participants, including the cheapest offer, were banned immediately.

 

Everything came to the point where PE “Highway” received the small suborder. However, Kyivavtodor received a letter from LLC “Color S.I.M.” that ostensibly stated that before the completion of the documents there was an error in recording the sums of the propositions: the figures allegedly showed 13,868,400.00 UAH, in writing – thirteen million three hundred sixty eight thousand UAH and 00 kop. “Kyivavtodor” believed these figures and when it was corrected “Color S.I.M” won the bid and began working on hiring subcontractors; the same companies that lost the tender.

In addition, the tender committee representative of LLC “Color S.I.M.”, who attended the meeting, for some reason signed a protocol for the proposal of LLC “Color S.I.M.” in the sum of 13,868,400 UAH. Therefore, in our opinion, this case is about fraud, which carries criminal liability.

In addition, the circumstances may indicate a specific agreement of between the “Kyivavtodor” and LLC “Color S.I.M.” corporations that favors the interests of the latter, which in turn led to the distorted outcome of the auction.

 

Again, to add, the company “Color S.I.M.” is registered in the Rivne region, in Zoe Ivashchuk. Since 2008, we are aware of the tenders won by “Color S.I.M.” in the amount of 130.14 million UAH.

 

 

LEGAL ASPECTS OF THE CASE:

Given the above, together with MP Serhiy Leshchenko, we:

  1. Appealed to the Chairman of the State Financial Inspection of Ukraine, Gavrilova L.V., which forwarded the appeal to Derzhfininspektsiyi in Kyiv. Chairman S.M. Efimenko stated that an analysis of the documents surrounding the procurement procedure would be conducted.
  2. Challenged the Chairman of the Antimonopoly Committee of the Kyiv municipal territory, Tolchynu, S.M.
  3. Addressed the Chairman of the Kyiv City Administration V. Klitschko.
  4. Addressed the Chairman of the State Road Agency, Batyschevu A., who confirmed that the reflective effect should be used in road marking.
  5. Addressed the Minister of Internal Affairs of Ukraine Avakov, A.B.
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