Ukraine’s National Anti-Corruption Bureau (NABU) and Specialized Anti-Corruption Prosecutor’s Office (SAPO) have uncovered a large-scale scheme involving the alleged embezzlement of grain from the State Food and Grain Corporation of Ukraine (SFGCU), with losses estimated at around $17.7 million.
According to investigators, the scheme dates back to 2021, when SFGCU signed four contracts to sell corn to a foreign company. Under the agreements, the buyer was required to pay in full before receiving any goods or shipment documents.
However, NABU says the payment was never made. Despite this, the company allegedly handed over the original shipping documents that serve as the legal right to collect grain from port storage facilities.
Those documents effectively function as a “pickup key”: whoever holds them can claim and remove the cargo. Using the documents, the foreign company was allegedly able to take possession of the grain at the port, unload it, and use or dispose of it without paying.
To conceal the loss, SFGCU officials allegedly retained internal copies of the documents containing forged signatures and seals, making it appear on paper that the corporation still controlled the shipment.
In total, around 106,000 tons of grain were reportedly taken, causing estimated losses of Hr.776 million ($17.7 million).
Investigators say the proceeds were then laundered through multiple banking channels, mixed with legitimate funds, and later invested in businesses and real estate.
Several individuals have been served with suspicion notices, including a former head of the SFGCU board, the ex-director of its trading department, the head and owner of the foreign company involved, his associate, and another alleged participant.
They are charged with embezzlement, money laundering, and document forgery. Under Ukrainian law, all suspects are presumed innocent until proven guilty in court.