Land Disputes, Public Contracts, and Smuggling Ties: Inside the Business of Chernivtsi Entrepreneur Vasyl Chobotar

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A public controversy has erupted in Chernivtsi surrounding local entrepreneur Vasyl Chobotar over the long-term, rent-free operation of a bakery on public land. Investigations reveal that the facility has been running on the grounds of the Chernivtsi Regional Psychiatric Hospital without a legally executed land lease. The issue has drawn heightened public and regulatory scrutiny due to Chobotar’s family ties to Yurii Kushnir—a high-profile figure on Ukraine’s NSDC sanction list who was recently convicted by the High Anti-Corruption Court (HACC) for customs corruption.

According to reports by Suspilne, Chobotar’s bakery and retail outlets have operated on the state psychiatric hospital’s property for over 20 years. While actively securing municipal contracts to supply baked goods to public institutions, the business has reportedly failed to pay land rent since at least 2015.

Hospital administration has repeatedly filed lawsuits alleging illegal land occupation, while the Chernivtsi Regional Council has questioned the legality of the private structures built on municipal property. Chobotar denies any wrongdoing, asserting that he spent years attempting to formalize the land use, but bureaucratic hurdles prevented finalizing the agreement.

«For years, we submitted all required documentation packages and tried to resolve the legal land-use issues to operate fully within the law,» representatives for the entrepreneur stated in response to the allegations.

The most significant aspect of the story involves Chobotar’s close personal network. Local investigative reporting identifies Chobotar as a close relative of Chernivtsi businessman Yurii Kushnir. Kushnir is well known to law enforcement: in 2021, the National Security and Defense Council (NSDC) placed him on its sanctions list, naming him among Ukraine’s top high-level smugglers.

Legal consequences followed soon after. In 2024, the High Anti-Corruption Court (HACC) approved a plea bargain convicting Kushnir for his role in large-scale corruption schemes at the Chernivtsi Customs Office. Investigators proved that systematic customs tax evasion caused nearly 290 million UAH in damages to the state budget. The court handed Kushnir a suspended sentence of 4 years and 9 months, along with an order to pay over 83 million UAH in restitution and fines.

Additionally, the HACC found Kushnir guilty of offering a $180,000 bribe to Ivan Muntyan, the former head of the Chernivtsi Regional Council, to secure a lease for the «Brusnytsia» health resort complex.

Against the backdrop of Kushnir’s criminal convictions, the land dispute involving Chobotar’s bakery takes on broader significance. Local activists and analysts are raising questions about what political or administrative leverage allowed a private business to operate so comfortably on public hospital grounds for years without paying rent.

Currently, public records contain no confirmed evidence directly linking Vasyl Chobotar to customs fraud or smuggling networks. However, his family and business ties to Kushnir’s inner circle remain a focus of ongoing media and regulatory scrutiny in the Chernivtsi region.

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