The Road to Wealth – Boris Lozhkin and His Outstanding Frauds

Boris Lozhkin went off the grid at once after he had left the position of the Chief of the Presidential Administration of Ukraine. There were no apparent reasons for giving up such a profitable appointment but Al Jazeera’s reporters did some digging and found out something interesting – $130M of credit money that Boris Lozhkin got from Sergey Kurchenko for his media holding UMH. He was going to cover up money in Austria and launder them. The trick showed up, Boris Lozhkin had to leave the position, and lie low. Now, let’s shed some light on his other great frauds.

Boris Lozhkin

Some Snippets from Boris Lozhkin’s Life

Despite the criminal activity, Boris Lozhkin is generous (however, it’s rather easy to pour ill-gotten money) and likes to provide services in exchange for such small presents as a bottle of luxury alcohol, a pen o any other souvenir. He adores his own “dolce vita” living in Konche Zaspa – the elite Kyiv district. Besides, he’s a bit gooey and extravagant. For example, when his daughter left Ukraine for England, he gave shelter to her pet – the cat Venya that settled in the media holding office and even had its own account on the social media. Later, it moved the Presidential Administration together with his new owner.

Those pretty features bring some enhancement into Boris Lozhkin’s image. However, let’s not forget his thirst of power and money, his direct participation in plenty of frauds and illegal activities. His path to success is strong evidence.

Step Back in History

Long before Petro Poroshenko took up the post of the Ukrainian President in the wave of Revolution of Dignity, he was close to Boris Lozhkin and had some business relationship with him. Their partnership was based on the identical interests in various companies (“Radio 5”, “Retro FM”, for example). Some successful but questionable in terms of law bargains convinced Poroshenko in his value and made him trust Boris Lozhkin.

This “sweet couple” even upped the “Correspondent” (authoritative edition in the USA) in 2004 but Americans failed the deal because they were aware of their reputation and didn’t want to sacrifice their own image. However, something changed in 2010 and he managed to buy the edition. A bit later, Lozhkin bought “Retro” and “Next” radio stations and shared “Correspondent” and “Our Radio” with Poroshenko.

The negotiations purchase, and other financial activities around the UMH Group are also curious. While they were discussing details and signing agreements, many difficulties and issues arose that’s why they invited Igor Mazepa to make the process as hidden as possible. Igor Mazepa has always been famous among sharks in business and politics due to his ability to smooth things over at all costs and to leave everything being kept under wraps. They decided to hide dirty money in the Austrian banks but their prosecutor’s office spoiled all of the fun and suspected money-laundering. They tried to clarify the situation when connecting with the law enforcement agencies in Ukraine but the latter didn’t respond. So, they didn’t find out whence legs grow at that money and at other finances – EUR 300M totally.

At a glance, who cares when Kurchenko splurged? Actually, it was not his own money but funds from the budget of Ukraine that was recorded as a credit at Ukreximbank – a financial establishment under Poroshenko’s control. Tats why no prizes for guessing how Boris Lozhkin and Co. pulled the job.

Other Boris Lozhkin’s Projects

Igor Mazepa helped Lozhkin get “Dobrobut” – a network of medical establishments. Mazepa and his Concorde Capital were recorded as official owners, but it was strange because his company is estimated at $15M and the price of the deal was $100 M.

When Lozhkin had to find investors abroad to enhance the Ukrainian economy, he did his own business and built a premium residential complex in Germany and managed to get a huge and fast return of investments.

So, Boris Lozhkin has always cared for his interests instead of growing his country. He’s just one of many Ukrainian politics that don’t care to work for their country but used to profit from the regular citizens.

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