The Financial Monitoring Agency (FMA) has completed its investigation into a case of property damage caused during the procurement of medicinal products in Kazakhstan. According to the investigation, the damage to the budget amounted to 3.7 billion tenge, and the amount of cashed-out funds exceeded 4 billion tenge.
HOW THE SUPPLY SCHEME OPERATED
According to the FMA press service, Interpharmservice LLP, as the distributor and sole supplier of drugs for the treatment of Duchenne muscular dystrophy in Kazakhstan, supplied medicines to medical organisations for five years.
The manufacturer set maximum selling prices. However, the investigation claims that the company's management included a controlled firm, registered in the UAE, in the supply chain, through which nominal transactions were conducted.
According to the FMA, this allowed the company to inflate the selling price of the drugs, conceal their actual cost, and generate additional income.
FINANCIAL VIOLATIONS AND FUND WITHDRAWAL
The investigation believes that the proceeds were funnelled through transactions with individual entrepreneurs (IEs), accompanied by fictitious invoices. As a result, according to the agency, over 4 billion tenge was cashed out, and the amount of unpaid taxes exceeded 637 million tenge.
ASSETS AND PREVENTIVE MEASURES
As reported by the FMA, the funds obtained from the alleged violations were used to purchase:
- 32 apartments,
- 11 cars,
- 8 residential houses.
The specified property has been seized for possible confiscation.
Preventive measures have been imposed on three suspects: two are under house arrest, and one is on bail. The parties have begun reviewing the materials of the criminal case.
Further details are not disclosed in accordance with Article 201 of the Criminal Procedure Code of the Republic of Kazakhstan.