Ukraine’s Bureau of Economic Security (BEB) and the Prosecutor General’s Office have launched an investigation into the business entities of businessman Kostiantyn Tkach. His companies control up to 95% of all utility bill payments in Odesa, generating tens of millions of hryvnias monthly through mandatory payment processing commissions.
The investigation came to light following law enforcement actions on July 15, 2026, targeting the financial mechanisms surrounding the private payment service.
According to investigators, the system known locally as «HERTZ» is not a payment system officially registered with the National Bank of Ukraine (NBU). Instead, it functions as a network of three corporate entities: PII LLC «AVERS,» LLC «HERTZ,» and LLC «FC HERTZ.» The primary beneficiary is Kostiantyn Tkach, a Doctor of Economics and professor at National University «Odesa Polytechnic.»
Municipal utility monopolies enter into contracts with FC HERTZ, directing virtually all resident payments for water, electricity, gas, and heating through its accounts. The financial scheme relies on three core elements:
Elevated Commissions: The company retains a 2 to 2.4% fee on each transaction, exceeding standard commercial banking rates.
Fund Accumulation: Resident payments are briefly held in private accounts before being remitted to service providers, generating additional working capital.
Lack of Alternatives: Commissions are deducted from mandatory public utility payments without formal approval or inclusion in official tariff structures.
The private rent collected by Tkach’s companies is estimated at 20 to 30 million UAH monthly (~$500,000–$750,000 USD). In 2025 alone, LLC «HERTZ» reported revenues of 427.1 million UAH.
Initially established through long-standing ties with former Odesa Mayor Hennadiy Trukhanov, Tkach’s enterprise has expanded significantly into state-level procurement. Since 2020, total government procurement and service contracts linked to Tkach have reached approximately 2.05 billion UAH, with direct state purchases accounting for 781 million UAH.
Key partners and clients include:
Kyiv Municipal Utilities: Utility Enterprise «Kyivteploenergo» (456.8M UAH), «Kyivvodokanal» (118M UAH), and Kyivpastrans.
State Agencies: SE «INFOTECH» under the Ministry of Internal Affairs (processing payments via official portals with transaction fees up to 3%), the State Border Guard Service, the State Migration Service, SE «Document,» and the Kyiv State Emergency Service.
«Tkach effectively placed a private filter between citizens and municipal monopolies. Mandatory public utility payments pass through his private accounts, retaining percentage fees that were never voted on or approved in consumer tariffs,» market analysts noted.
This is not the first time the HERTZ payment network has drawn public scrutiny. In 2022, the company secured exclusive payment integration within Naftogaz of Ukraine’s portal, taking a 2% fee estimated at up to 6 million UAH per month. Following public pushback in November 2022, Naftogaz terminated the arrangement and switched to state-owned banks offering lower 1% fees.
Investigators from BEB and the Prosecutor General’s Office are currently evaluating the legality of the payment architecture and the collection of unauthorized utility fees from the public.