Ex-PrivatBank Owner Under Investigation Amid Epic Fraud Allegations

The former co-owner of PrivatBank, Gennadiy Bogolyubov, is under scrutiny for allegedly using a false passport to flee Ukraine amid separate fraud charges. Both Bogolyubov and Ihor Kolomoisky are accused of defrauding PrivatBank through fake loans and agreements, a case which is seen as a litmus test for President Volodymyr Zelenskiy's anti-corruption reforms.

Ukraine's State Bureau of Investigation is investigating Gennadiy Bogolyubov, former co-owner of PrivatBank, who allegedly used another person's passport to exit Ukraine in June amid separate fraud claims, the bureau said on Tuesday.

PrivatBank, Ukraine's largest lender, has accused Bogolyubov and Ihor Kolomoisky of orchestrating sham loans and supply agreements between 2013 and 2014, defrauding the bank on an "epic scale." The bank was nationalized in 2016.

Bogolyubov and Kolomoisky have denied any wrongdoing, insisting that there was no misappropriation and that there is no evidence linking them to the alleged fraud. According to investigators, Bogolyubov illicitly crossed into Poland using another Ukrainian's passport on June 24, aided by a detained border official.

The PrivatBank fraud case is being monitored closely by politicians and investors, representing a significant challenge to President Volodymyr Zelenskiy's commitment to combat entrenched corruption in Ukraine, especially during the ongoing conflict with Russia.

Kolomoisky has been in custody on similar fraud accusations since 2023. According to the Ukrainska Pravda news outlet, Bogolyubov later traveled from Poland to Austria, although his press service asserts that he left Ukraine legally.

(With inputs from agencies.)