The Department of the Agency for Financial Monitoring (AFM) in Akmola Region is investigating a case concerning the possible embezzlement of budget funds during the construction of utility networks and public amenities in Kokshetau. According to the investigation, the work was accepted and paid for, but was not actually fully completed.
WHAT PROMPTED THE INVESTIGATION
As reported by the AFM, in 2020, contracts for construction and installation work and technical supervision were concluded between the State Institution 'Department of Construction of Kokshetau' and the contractor organisations — TAU PROJEKT LLP and CEM-StroyEnergoMontazh LLP.
The work was carried out within the framework of the approved design and estimate documentation. However, the actual execution did not match the stated scope.
THE ALLEGED SCHEME
According to the AFM, the beneficiary of the contractor organisations is suspected of orchestrating the overstatement of the scope of work. False information regarding work that was either not carried out or was only partially completed was included in the acceptance certificates.
Specifically, the investigation alleges that, despite documentary confirmation, work on the foundation of the drainage system, the installation of ditch blocks, and the supply and installation of a sewage pumping station was not actually carried out.
The report does not specify the stage the projects were at when the violations were discovered, nor whether they have since been completed.
THE ROLE OF OFFICIALS
The investigation is also looking into the actions of the head of the Department of Construction of Kokshetau, who, according to the AFM, was aware of the discrepancy between the actual volume of work and the project designs.
Nevertheless, he ensured the signing of the work completion certificates and took no measures to suspend funding or terminate the contracts.
HOW THE FUNDS WERE DISTRIBUTED
Based on the signed documents, budget funds were transferred to the contractor organisations. Subsequently, according to the AFM, they were redistributed through controlled companies — MAZHERUS LLP and Tamila Invest LLP.
DAMAGES AND PREVENTIVE MEASURES
According to the agency, the damage to the state exceeds 160 million tenge. By court order, the suspects' property has been seized, including 10 cars, 3 land plots, and an apartment.
Preventive measures in the form of detention and house arrest have been selected for the individuals involved.
The investigation is ongoing. Further information is not subject to disclosure in accordance with Article 201 of the Criminal Procedure Code of the Republic of Kazakhstan.