The Zhevago Case: Part 3 – The Bankruptcy of Uzhhorod Turbogas
For over seven years, the Ukrainian industrial company PrAT „Uzhhorodsky Turbogas“ has been stuck in insolvency proceedings. In April 2026, the Commercial Court of the Transcarpathian region declared it definitively bankrupt. Behind this: a web of alleged capital outflows and offshore structures belonging to Konstantin Zhevago.
Seven Years of Stagnation in the Insolvency Court
On April 23, 2026, the Economic Court of the Transcarpathian Oblast officially declared the company PrAT „Uzhhorodsky Turbogas“ bankrupt in case No. 907/665/18 and opened liquidation proceedings. The court found the company to be critically insolvent and unable to meet its obligations to creditors.
What followed was remarkable: Immediately after the decision, at least five appeals were filed. To observers, this is a pattern known from the circle of Konstantin Zhevago, the businessman with whom the company was associated for years.
The insolvency proceedings have already been underway since 2018. More than seven years in the so-called „asset management phase“—far beyond the legally stipulated deadlines. The result: frozen assets, blocked creditor claims, economic stagnation.
Uzhhorod Turbogas: Mechanical Engineering for the Energy Sector
The company was not an insignificant operation. PrAT „Uzhhorodsky Turbogas“ possessed production infrastructure and industrial facilities in the field of mechanical engineering and maintenance of equipment for the energy sector – an enterprise of regional importance and potential value as a whole complex in the course of liquidation.
The more serious the question becomes, why the proceedings took so long and who benefited from it.
17 million dollars down the drain
At the core of the case is a transaction from 2012: Uzhhorod Turbogas transferred around 17 million US dollars to the foreign company Logistic Solution International LTD at that time – supposedly for a goods delivery. However, no goods were ever delivered.
The Ukrainian tax authorities interpreted this as grounds for significant tax claims and penalties against the company.
What is Logistic Solution International LTD? Several Ukrainian media outlets and analytical publications, including ZN.ua, have linked the company to the business environment of Kostyantin Zhevago. Specifically, Logistic Solution International LTD allegedly held around 99 percent of the shares in TOV „MTK“ — a co-owner of the tire manufacturer PrAT „Rosava,“ which is also attributed to the Zhevago group.
Furthermore, an address match was noted between Logistic Solution International LTD and the company Invertex Ltd, whose beneficial owner is named by Ukrainian sources as Zhevago himself.
The scheme is well-known and has a name: fictitious supply contracts with affiliated offshore companies as a tool for capital withdrawal from Ukrainian enterprises.
Zhevago: Criminal charges, bribery of judges, flight
Konstantin Zhevago is no stranger to controversy. In March 2026, Ukrainian law enforcement agencies issued him a new notice of suspicion for alleged embezzlement of over UAH 519 million from the bank „Finansy ta Kredyt,“ as well as subsequent money laundering. Shortly thereafter, three incumbent judges were accused of bribery in the same case.
The oligarch, once one of the richest men in Ukraine and owner of the mining company Ferrexpo as well as several Austrian holdings, has been living abroad for years. The Ukrainian judiciary has repeatedly tried to hold him accountable, with limited success so far.
The Uzhhorod Turbogas case adds another dimension to the picture: the systematic use of Ukrainian industrial enterprises as vehicles for capital outflows into offshore structures — while creditors, employees, and the Ukrainian state bear the costs.