The HACC ruled to hear, in a closed court session, the plea agreement between the SAPO prosecutor and three members of Ukrzaliznytsia’s so-called “back office.” The outcome of the hearing is currently unknown.

The procurement of cable and wire products for Ukrzaliznytsia at inflated prices became one of the episodes in a large-scale “corruption scheme” at the company. According to investigators, the scheme to misappropriate Ukrzaliznytsia’s funds through controlled procurements was organized by Artem Shylo, former freelance adviser to the Office of the President and MP Viktor Bondar. However, this proceeding concerns only the part related to kickbacks in cable procurement.

The investigation established that MP Viktor Bondar, using his connections with Ukrzaliznytsia officials responsible for production procurement, conspired with Kyiv businessman Volodymyr Kotliar, the owner of Enei company and the HIT football club. Kotliar acted in partnership with Enei’s director, Serhii Kondratenko. Together they organized the supply of products at inflated prices, thereby making a profit from the overpayment for goods.

The essence of the scheme was that in 2021, Kotliar developed a mechanism for supplying cable products for Ukrzaliznytsia’s needs through companies under his control. He reached an arrangement with the so-called “back office”—another criminal group that included a Ukrzaliznytsia official and other figures.  This group informally controlled his activities and, for a percentage of the contract value, ensured that the desired companies won tenders.

From 2021 to 2023, a number of companies controlled by Volodymyr Kotliar won tenders of Ukrzaliznytsia to supply cable and wire products. They were not manufacturers; instead, they purchased goods through chains of shell companies, artificially inflating prices to 1.5–2 times the market level. From the resulting margin, the participants distributed between 2% and 15% of the paid contract value as kickbacks. As a result, Ukrzaliznytsia suffered losses of more than UAH 140 million, which the participants appropriated.

In May 2023, NABU detectives detained two individuals while they were transferring a bribe to Oleksii Onysymiuk, the former deputy director of Ukrzaliznytsia's Production Support Center branch.  The bribe was a Toyota Camry. This detention effectively paralyzed Kotliar’s group and complicated the further implementation of its criminal plans. At the same time, amid media attention to the inflated cable prices, the branch ordered a repeat expert examination of the market value of the products.

To conceal the real value of the products, Kotliar and his accomplices pressured manufacturers, forcing them to provide inflated market-price data. For this episode, the suspects are charged with attempted misappropriation of Ukrzaliznytsia’s property through abuse of office.

According to investigators, the organizer of the scheme was Volodymyr Kotliar, who controlled the companies supplying cables to the railway at inflated prices. In March 2024, HACC imposed an interim measure on him in the form of detention with an alternative bail of UAH 100 million. His business partner Serhii Kondratenko was a co-perpetrator who directly organized the supplies and documentation. The investigation considers Yevhen Zaivei to be an accomplice who facilitated the scheme.

Their actions are classified under Article 191(5) of the Criminal Code of Ukraine and as an attempt to commit this crime (Article 15(2), Article 191(5) of the Criminal Code of Ukraine): Kotliar as the organizer, Kondratenko as the perpetrator, and Zaivei as the accomplice.

All three defendants expressed a desire to enter into plea agreements. The details of these agreements are currently unknown, as the case was heard in a closed session and the court's decision is classified. The proceedings were restricted to prevent the disclosure of pretrial investigation details, as the defendants committed to providing incriminating testimony against other members of the criminal group. Furthermore, the prosecutor insisted on closed proceedings for the safety of Yevhen Zaivei’s minor children to prevent potential pressure on him through family members. Also, under the terms of the agreement, Volodymyr Kotliar is obligated to transfer a significant sum to the needs of the Armed Forces of Ukraine—the confidentiality of this information is intended to protect him from potential sabotage by the aggressor state.