State audit service of Ukraine and its interregional territorial offices have conducted the audit of the financial-economic activity of PJSC “SJSC “motor roads of Ukraine” and its subsidiary companies.

As reported by its press service, the audit covered the period of activity of the specified objects monitoring for the period 1 July 2012 to 31 August 2016.

“Audit revealed significant shortcomings in the work of subsidiaries, which indicates poor monitoring of their activities by PJSC “SJSC “motor roads of Ukraine”, – stated in the message.

The amount of the revealed violations which led to losses of financial and material resources is more than 85 million. In particular, the large is the overestimation of the value of production of asphalt concrete mixtures that were used in fulfilling contracts paid for with budget funds. Most of such violations were revealed at SOE “Poltava Oblavtodor” ($9.5 million UAH), GP “Nikolaev Oblavtodor” (8 .8 million UAH), SE “Chernihiv Oblavtodor” (8.2 million UAH), state enterprise “Lviv Oblavtodor” (8.1 million UAH).

Due to the adoption by the heads of subsidiaries to inefficient management decisions and the implementation of unproductive expenses the amount these businesses lost income is at least 270 million UAH. The most unproductive expenditures and losses of income recorded in the SOE “Poltava Oblavtodor”, SE “Zhytomyr Oblavtodor”, SE “Lviv Oblavtodor”, SE “Kirovograd Oblavtodor”.

“The lack of real steps of the State Agency of automobile roads of Ukraine (Ukravtodor) relatively clear legislative regulation of issues related to the activities of PJSC “SJSC “motor roads of Ukraine”, in particular regarding the definition of the status of the property transferred to its Charter, the formal control of the company over the activities of subsidiaries, leads to constant abuse in the use of property of the enterprises”, – says the service.

In addition, the presence of extremely worn out repair and construction technique does not allow the most part, the subsidiaries compete with other bidders for execution of construction works, which leads to a steady reduction in the volume of work performed.

According to the results of control measures informed by the Cabinet of Ministers of Ukraine, Ministry of Infrastructure and Ukravtodor, given the number of proposals, including the elimination of violations and involvement of perpetrators to responsibility.

As reported, the head of the liquidated SJSC “motor roads of Ukraine” in July 2016, was the former adviser of the Minister of infrastructure Artem Grinenko. Later, the government took the decision to cancel the liquidation of the enterprise, and A. Grinenko focused on the reform of the enterprise.

Previously, from March 2014 to August 2016, the company was headed by Orest Broke before former Director of a subsidiary GAK – “Kyiv regional road administration”.

To him, since 2010, the SAC was headed by Sergey Stelmacovich, is the former head of service of highways in Kharkiv region.