Case description
The HACC has found former MP Ruslan Demchak guilty in a case concerning illegally obtained housing compensation in Kyiv — compensation he was not entitled to, as he owned a property near the capital.
According to the investigation, between 2017 and 2018, Demchak was registered and actually resided in a house located less than 30 km from the city limits of Kyiv. This meant that, under the law, he had access to housing close to the capital.
As a Member of Parliament of the 8th convocation, Ruslan Demchak was therefore not eligible to receive compensation for renting accommodation or staying in a hotel. Nevertheless, and seemingly aware of this restriction, he failed to notify the Office of the Verkhovna Rada of Ukraine.
Instead, he submitted applications requesting accommodation in the state-owned Kyiv Hotel Complex, along with requests for compensation for hotel expenses and for the funds to be transferred directly to the hotel’s account.
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Later, Demchak changed his registered address and entered a contract with the Kyiv Hotel Complex for a hotel room to be rented at the state’s expense.
As a result of his actions, the state, represented by the Administrative Office of the Verkhovna Rada, incurred material losses amounting to UAH 225,000.
Demchak’s actions were classified under Article 364(2) of the Criminal Code of Ukraine. The HACC found him guilty and approved a plea agreement. He was sentenced to three years in prison with a one-year probation period. The court also imposed a fine of UAH 17,000 and barred him from holding public office for one year.
Also, Demchak reimbursed nearly UAH 800,000 for the entire period during which the hotel room was covered by the state budget. He also committed to transferring UAH 2 million to the United24 initiative. The funds will be allocated by the Ministry of Health of Ukraine for the procurement of armored ambulances.
