The Supreme Court of Ukraine has issued a final verdict in a financial dispute involving Andriy Zhurzhiy, founder of the real estate investment firm Inzhur and former Member of Parliament, ordering him to pay over UAH 2.7 million in accrued interest to private lender Valeriy Kulyk. The ruling concludes a court battle spanning more than two years across three judicial instances.
The conflict stems from a loan agreement signed on August 18, 2022. According to court records, Zhurzhiy received UAH 20.37 million in cash from Kulyk—equivalent to $500,000 at the time—with a contractual obligation to repay the principal by February 28, 2023.
The borrower failed to return the funds by the agreed deadline. Following formal demands and claims sent in March 2023, Zhurzhiy eventually repaid the principal sum on July 20, 2023, but without paying any interest for the extended period of use.
Kulyk subsequently filed a lawsuit demanding interest for the period from August 19, 2022, to February 28, 2023. Because the original contract did not specify a set rate, the plaintiff requested the application of the National Bank of Ukraine’s key policy rate of 25% per annum. The total claim amounted to UAH 2.7 million.
The lawsuit went through three levels of review:
Solomyanskyi District Court of Kyiv initially dismissed the claim in November 2024, citing Martial Law provisions that exempt debtors from interest penalties during wartime.
Kyiv Court of Appeal overturned that decision in May 2025, ruling that wartime exemptions apply exclusively to fines and penalties for default, not to lawful interest for using borrowed capital.
The Supreme Court affirmed the appellate ruling, rejecting the defense’s request to transfer the matter to an enlarged panel.
«Ukrainian law establishes a presumption of compensation for loan agreements. Unless a contract explicitly states that a loan is interest-free, the lender retains the legal right to demand interest based on the NBU key rate,» the court noted.
The defense argued that because the debt was tied to the U.S. dollar, interest calculations based on Ukrainian hryvnia rates should not apply. However, the court rejected this argument, noting that the agreement specified cash disbursement and repayment in local currency, using the foreign currency merely as a benchmark.
The ruling on Zhurzhiy’s personal liability comes while his company, Inzhur, continues major operations in the commercial real estate market, including high-profile acquisitions valued at $36 million.