The Kozatsky Hotel owned by the Ministry of Defense has been handed over to the management of the State Property Fund, and preparations are underway for its privatization. This information is detailed in a Cabinet of Ministers order published on the Government Portal.
Despite its advantageous location, the hotel has been operating at a loss: from 2016 to 2019, it accumulated arrears of almost one million hryvnias, and in 2020, its debt to suppliers, the budget, and labor payment reached 10.3 million hryvnias.
In 2019, the National Anti-Corruption Bureau opened a criminal investigation into cases of abuse of official positions by the hotel’s management. When receiving funds for hotel stays booked through online reservations, they redirected the money to private accounts instead of the state enterprise’s account.
Additionally, the Ukraine Hotel in Kyiv, valued at over 1 billion hryvnias, may be put up for sale at the end of this summer.
