The Shevchenkivskyi District Court of Dnipro is hearing civil case No. 932/5709/26 brought by entrepreneur and military veteran Denys Podolyan against PrAT «Patriot,» a state lottery operator ultimately owned by Favbet founder Andriy Matyukha. The plaintiff demands full disclosure of the company’s ownership structure and the identity of its ultimate controllers. The lawsuit stems from consumer protection disputes alongside inquiries into Matyukha’s alleged tax residency in Russia and property transactions in occupied Crimea.
According to the state register, PrAT «Patriot» has been in the process of liquidation since April 1, ending 2025 with a net loss of nearly 30 million UAH. In the spring, the gambling regulator PlayCity revoked the company’s lottery license just six weeks after issuance, though a court temporarily suspended the revocation on June 5. Defense representatives are asking to dismiss the case, reiterating that Matyukha holds neither Russian nor Belarusian citizenship and presenting an affidavit to support their position.
Simultaneously, the Favbet group faces extensive enforcement actions from state authorities. Early this year, regulators imposed over 9 million UAH in financial penalties on the company for delayed payout of winnings and operating uncertified software. A subsequent April inspection of «Favbet Game Slots» uncovered 108 uninspected slot machines, resulting in a 933 million UAH fine and the suspension of its slot hall license. While the court temporarily halted the license cancellation, it refused to freeze the record fine.
The holding’s operational environment is further complicated by criminal proceeding No. 62025000000000876, initiated on August 26, 2025. Law enforcement agencies are investigating potential offenses including participation in a criminal organization, tax evasion, money laundering, and aiding an aggressor state. As part of this investigation, the Pechersk District Court of Kyiv froze non-cash assets in the bank accounts of Favbet and «Casino.UA» on November 26, 2025, transferring them to the Asset Recovery and Management Agency (ARMA).
Despite legal and regulatory hurdles, the group achieved a notable court victory on May 19, when the Supreme Court upheld the cancellation of a 2.13 billion UAH tax assessment related to online payment point-of-sale (POS) registration rules. However, the pending Dnipro lawsuit requiring transparency around the lottery operator’s true ownership remains a central challenge to the group’s ongoing operations in the Ukrainian market.