Abuse in Corn Export in Odesa: Tax Evasion Scheme Uncovered
The Bureau of Economic Security in Odesa region has uncovered a tax minimization scheme amounting to 202 million hryvnias during the export of 28 thousand tons of corn to Malaysia. As a result of law enforcement intervention, customs declarations for export were canceled.
According to the BES press service, a group of individuals was found who, through controlled companies, registered fictitious corn cultivation. In fact, the grain was purchased from farmers for cash without paying value-added tax (VAT). To legalize these operations, funds amounting to 14% of the value of the goods were deposited into the enterprises’ accounts, allowing the registration of tax invoices and obtaining budget refunds. Following detectives’ intervention, the exporter was forced to cancel the customs declarations.
Currently, a pre-trial investigation is underway, and BES is working on identifying all participants in the scheme. This is not the first case of uncovering such manipulations, for instance, earlier in Chernivtsi region, a tax evasion scheme was uncovered in a network of 24 stores, and in Odesa, the production of jewelry under the guise of internationally renowned brands.
| Country of Origin | Article | Volume | Detected Amount of Evasion |
|---|---|---|---|
| Ukraine | Corn | 28 thousand tons | 202 million UAH |
| The investigation is ongoing, and details may change depending on new findings. | |||
