Clandestine crypto farm at the Rava-Ruska forestry enterprise: four criminal proceedings by the State Bureau of Investigation — the “data center” owners remain at large and are, for the third time, attempting to be reinstated in their positions

Olena Duma, Chair of the Asset Recovery and Management Agency (ARMA), reported that the agency is preparing a competitive tender procedure for the sale of the equipment from the illegal mining farm discovered in one of the branches of SFE “Forests of Ukraine.”

The media did not provide any explanations when they spread the news. But the story is resonant, and we have a story to tell:

1.The clandestine cryptocurrency mining data center in the office premises of the Rava-Ruska branch (Lviv region) was discovered as early as June 2023. The data center appeared in the forestry enterprise a year before the establishment of SFE “Forests of Ukraine”—in March 2022. Since then, the enterprise’s electricity payments have risen significantly (to 23,000 kWh per month).

2.The Security Department of SFE “Forests of Ukraine” uncovered a number of other abuses: vehicle leasing schemes (the enterprise paid for equipment, but the SUVs ended up registered to relatives of the leadership); large-scale fuel theft that was issued to non-working machinery; and covert land privatization (on one of the plots transferred for a long-term lease for a nominal fee, a head’s relative built a tourist facility), etc.

3.In the autumn of 2023, individuals associated with the former leadership of the forestry enterprise attempted to set fire to the premises of the forestry where the crypto farm was located.

4.Numerous proceedings have been investigated by the State Bureau of Investigation: to date, none of the former heads of the forestry enterprise has been held accountable.

5.The former heads of the forestry enterprise have twice been reinstated to their positions by the local court and are now seeking a third reinstatement.

6.All attempts by SFE “Forests of Ukraine” to return the “privatized” land are blocked by the courts.

7.The group that had been running the forestry enterprise launched a smear campaign against the leadership of SFE “Forests of Ukraine.”

8.Pocket judges, law enforcement officers, and “activists” are being deployed against SFE “Forests of Ukraine.” But there will be no return to the old ways.