For MPs, 2021 was a very productive year. The Verkhovna Rada registered approximately 1,500 bills and adopted 253 laws
Given that almost UAH 4 billion was allocated to finance the Verkhovna Rada in 2021, each law cost us about UAH 16 million. However, this is not the final amount, as we will have to pay for corrupt laws in the future.
Ukrainians trust the army the most - 68%. This is not surprising, because it is thanks to the army that we have been able to deter Russian aggression for 8 years. The key to our peace of mind is a combat-ready and motivated military.
At the same time, one of the reasons why servicemen leave the army is insufficient funding and lack of housing. Currently, more than 46,000 servicemen are waiting for their turn.
Please note! According to NAKO analysts, it will take 600 years to meet this need. Obviously, the military defending the country will not wait for their turn for housing in their lifetime.
Mykyta's case is another reality
In parallel, there is another reality. A striking example was the ‘apartment case’ of former MP Maksym Mykytas, the former owner of the Ukrbud construction corporation, which broke in 2020
For those who haven't heard or have forgotten: imagine being promised a cosy apartment in the centre of Kyiv, but instead being given a house on the outskirts that costs 1.3 million hryvnias less.
To the National Guard, this exchange seemed fair. The NABU says that this was facilitated by a $125,000 kickback to the then commander of the National Guard.
The corruption rent from this one transaction alone was over UAH 81 million. We can only imagine how many servicemen could have been provided with housing with this money.
What do the bills have to do with it?
The fact is that already in 2021, a draft law was registered that, instead of changing the approach to providing housing for servicemen, could actually legalise (legalise) such ‘apartment schemes’.
We are talking about the draft law No. 5716 ‘On Provision of Housing for Servicemen and Members of Their Families...’.
The authors of these amendments are members and the leadership of the relevant parliamentary committee: Ihor Kopytin, Maksym Berezin, Mariana Bezuhla, Oleksandr Zavitnevych, Yuriy Zdebskyi and Yuriy Mysiagin.
In fact, instead of introducing new approaches to the efficient distribution of housing, this draft law legalises such ‘apartment schemes’ and creates other corruption holes.
The authors of the document propose to create a special fund for the purchase of housing for military personnel and a commission of 5 people who will determine a specific investor through an auction.
This investor will carry out the construction and allocate a part of the apartments for the military.
What schemes can MPs pull off?
What is the problem? The problem is that this draft law essentially legalises two corruption schemes.
The first is the already mentioned ‘Mykytas’ apartment scheme’, as the document gives investors-developers the right to transfer apartments in other properties to the customer, regardless of their location and technical condition.
Goodbye, expensive land in the centre. Hello, unfinished buildings on the outskirts. We know, we've been there.
The second scheme hides the manual selection of developers behind the screen of auctions.
First, the meagre registration fee of UAH 1,700 allows anyone to participate in the auctions. This opens up unlimited possibilities for manipulation - artificially inflating the price and then refusing to sign the contract.
Such a participant risks nothing but UAH 1,700. Instead, the winner's refusal gives the commission the opportunity to decide at its own discretion whether to enter into a contract with other bidders or not.
Second, if it is proven that the tender was held with serious violations, the auction will not be cancelled. The complainant will simply be refunded a double registration fee of UAH 3,200.
80 million hryvnias or 3,200 hryvnias is a significant difference.
Third, the commission can refuse to sign a contract with the winner of the auction at any time.
MPs can still fix it
Unfortunately, these are not all the corruption risks of the draft law. However, this is enough to argue that such provisions will not guarantee effective and prompt provision of decent housing for the military.
Fortunately, MPs still have a chance to rectify the situation. Of course, we all hope that corruption loopholes will not prevent the law from working effectively.
However, unfortunately, most often the shortcomings of legislation are used for abuse or inaction. Therefore, society should follow the legislative ideas of its elected representatives.
Remember, politicians come and go, and we all have to live with the consequences of the laws they pass.
Source: Channel 24