The State Bureau of Investigation (SBI) has uncovered a massive phantom employment scheme within Ukraine’s forestry sector, allegedly involving top-tier management. According to law enforcement sources, hundreds of individuals were hired solely on paper. These «ghost workers» performed no actual duties but regularly received salaries, bonuses, and allowances, while also obtaining illegal mobilization deferments.
The scheme operated for an extended period using a classic «dead souls» setup. Individuals listed on the payrolls of various forestry units never showed up for work. Nevertheless, state funds for their maintenance were allocated consistently. Investigators are currently identifying the exact beneficiaries who pocketed these budgetary flows.
Insiders report that the head of the State Forest Resources Agency, Viktor Smal, and the former head of the State Enterprise «Forests of Ukraine,» Yuriy Bolokhovets, are among the key figures being investigated. Law enforcement is verifying their direct roles in organizing and maintaining the illicit network.
Beyond causing significant financial damage to the state budget, the scheme drew particular scrutiny from investigators due to its manipulation of the conscription process. Fake employment was systematically used as a loophole to secure official draft-deferred status for individuals who had no actual connection to the forestry industry.
«The State Bureau of Investigation is continuing to document various episodes of the scheme. New suspicion notices and further procedural decisions regarding the organizers and participants are currently being prepared,» a source close to the investigation stated.
At present, the SBI and related agencies have not released official comments on the active case. The officials named in the investigation have also withheld public statements. The SBI investigation remains ongoing as authorities determine the exact number of fictitious employees and the total financial damage caused.