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 "No law violations; fuel price went up due to market price fluctuations," - Kasko on fuel scandal in MoD

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A group of defense attorneys representing interests of Trade Commodity, company involved in fuel procurement scandal in Ukraine's Ministry of Defense, has announced its stance at a press conference in Kyiv on Monday.

The price for fuel that MoD was buying for the Army in 2016 was increased due to market fluctuations. This was provisioned by the Agreement between Trade Commodity and the Defense Ministry. This was announced by attorney Vitalii Kasko during press conference in Kyiv on Monday, Censor.NET reports.

"The position of the client from the legal point of view is that the procedure for purchasing fuel in 2016 was carried out in full compliance with the law of Ukraine on public procurement between the company and the Ministry of Defense.The law allows for changes in the contract in terms of the price for the goods in case of price fluctuations in the market. The fluctuations did took place, it was documented by authorized institutions; by mutual agreement between the company and the Ministry of Defense, amendments were made to the economic agreement.

"This is why the disputable legal relations that arise within the economic dispute should have been decided by court in the course of judicial proceedings. The dispute could have been initiated by the NABU and the prosecutor's office if it believes that the Ministry of Defense does not show initiative in this matter," Kasko said.

Read more: Kasko left Transparency International Ukraine to represent Trade Commodity in court

Earlier Oct. 16, it was reported that member of the Board of Transparency International Ukraine, partner in Vasyl Kisil and Partners law firm Vitalii Kasko gave up his membership in the organization in order to be able to represent Trade Commodity company in court hearings on its alleged involvement in corruption schemes with Defense Ministry.

Even earlier, on Oct. 11, 2017 NABU detectives together with SAP prosecutors conducted a number of raids that resulted in detention of two people suspected of embezzlement: deputy defense minister and director of State Procurement and Material Supplies Department. Later, it was reported that the detained deputy minister of defense is Lieutenant General Ihor Pavlovskyi.

Head of Special Anti-Corruption Prosecutor's Office (SAP) Nazar Kholodnytskyi told a briefing later that the prosecutors will ask for arrest and a bail in amount of one third of the damage inflicted, i.e. 149 million hryvnia.

The detention of the Defense Ministry officials was commented by the president, who said he would not allow anyone stealing from the army.
 
 
 
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