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The Business Focus in the Kyiv Post's In partnership with Nov. 25 edition will be dedicated to: Industrial Parks in Ukraine 10 days left! BUY YOUR TICKETS NOW! See pages 12-13 for details. To advertise, please contact us at [email protected] or call +380 44 591 7788 21st Anniversary Subscribe to Kyiv Post online. :::.<,93267&20 vol. 21, issue 47 www.kyivpost.com November 18, 2016 SECURITY&DEFENSE Exit Reformers Ukraine defense More of Ukraine’s top reformers have quit government, complaining that reform leader President Petro Poroshenko’s administration is obstructing corruption fight ‘could write book on how to sabotage change’ BY RAHIM RAHEMTULLA [email protected] Andriy Zagorodnyuk does not have a military background, yet he has been leading the reform office at Ukraine’s Ministry of Defense since March 2015. Zagorodnyuk, 39, is an entrepre- neur at heart. Given the success of his company, Discovery Drilling Equipment, in the oilfield services industry, his post at the ministry may seem even more unlikely. “I could have had an investor or entrepreneur visa to any coun- more Zagorodnyuk on page 16 On ‘dividing line’ between Ukraine, annexed Crimea Mikheil Saakashvili quit as Odesa Oblast governor on Nov. 7, while his allies - National Police Chief Khatia Dekanoidze and Odesa Oblast Customs Chief Yulia Marushevska (R) followed suit a week later. Saakashvili and Marushevska said their reform efforts were blocked by President Petro Poroshenko, while Dekanoidze complained about political interference and a lack of authority to make changes. (Volodymyr Petrov, Kostyantyn BY KYIV POST Chernichkin) CHONHAR, Ukraine – Lieutenant Colonel Oleksandr Martinyuk, head BY OLEG SUKHOV other Ukrainian leaders and the reforms is to get elected in opposi- Post. “Those who left wanted to of the Berdyansk border guard [email protected] lack of political will to combat cor- tion to Poroshenko and potentially carry out deeper reforms that would division, corrects sternly when he’s ruption and instill rule of law. come to power. change society but never got polit- told that the Ukrainian checkpoint The exodus of top reformers from Poroshenko and his spokespeo- Saakashvili on Nov. 11 announced ical support. Their exit made this at Chonhar, in southern Kherson government, which began last year, ple, Sviatoslav Tsegolko and Andriy plans to create a new political force, clearer, and now reformist forces Oblast, looks increasingly like an is continuing. Zhigulin, have consistently refused push for early parliamentary elec- will have to win elections in order international border crossing. While ex-Georgian President to comment on the accusations. tions and replace the current politi- to implement reforms.” “It’s a temporary control point, and Mikheil Saakashvili stepped down Ivan Vinnyk, a lawmaker from the cal establishment. At least 22 top reformers quit it really differs from an international as governor of Odesa Oblast on Poroshenko Bloc, the largest in par- “I think the authorities have government jobs earlier this year. border point,” Martinyuk said. Nov. 7, his allies -- National Police liament, denied the accusations of never wanted real reforms - those The most recent ones include Later in our interview, he stum- Chief Khatia Dekanoidze and sabotage on Nov. 14, attributing the that would imply deoligarchization, National Television Company CEO bled over what word to use for the Odesa Oblast Customs Chief Yulia recent resignations to Saakashvili’s changing society’s economic struc- Zurab Alasania, Odesa Oblast bridge travellers cross between his Marushevska -- quit a week later. desire to enter Ukrainian politics. ture, getting rid of state proper- Police Chief Giorgi Lortkipanidze, control point and the opposite point. On the way out, they complain Saakashvili is among those ty and total liberalization,” Sasha First Deputy Interior Minister “The dividing line,” interposed of sabotage of their efforts by who quit who argue that the only Borovik, who quit as a deputy of Major Nelya Dotsenko from the bor- President Petro Poroshenko and remaining way for them to continue Saakashvili in May, told the Kyiv more Reformers on page 18 more Chonhar on page 11 National 2, 3, 11 – 18 Business 6 – 10 Follow the Kyiv Post on CURRENCY WATCH Facebook at Opinion 4, 5, 15 Lifestyle 19 – 22 www.facebook.com/ KyivPost, and on Twitter Hr 27.4 to $1 Inside: Employment/Real Estate/Classifieds 22, 23 at @KyivPost. Nov. 17 market rate Advertising: +380 44 591-7788 [email protected] Subscriptions: +380 44 591-7788 [email protected] Editorial staff: +380 44 591-3344 [email protected] 2 National November 18, 2016 www.kyivpost.com NOVEMBER 18, 2016 Vol. 21, Issue 47 Copyright © 2016 by Kyiv Post The material published in the Kyiv Post may not be reproduced without the written consent of the publisher. All material in the Kyiv Post is protected by Ukrainian and international laws. Poroshenko, allies The views expressed in the Kyiv Post are not necessarily the views of the publisher nor does the publisher carry any responsibility for those views. own Spanish villas Газета “Kyiv Post” видається ТОВ “Паблік-Ме- діа”. Щотижневий наклад 9,500 прим. Ціна за домовленістю. Матерiали, надрукованi в BY CHRISTOPHER J. MILLER газетi “Kyiv Post” є власнiстю видавництва, AND NATALIE SEDLETSKA захищенi мiжнародним та українським законодавством i не можуть бути вiдтворенi © Radio Free Europe/Radio Liberty у будь(якiй формi без письмового дозволу Along the picturesque shores of Видавця. Думки, висловленi у дописах не Estepona in southern Spain’s Costa завжди збiгаються з поглядами видавця, del Sol lie some of Europe’s most який не бере на себе вiдповiдальнiсть за elegant resorts and luxury estates, наслiдки публiкацiй. whose owners and residents include Hollywood actors, superstar athletes, Засновник ТОВ “Паблік-Медіа” and some of the continent’s political Головний редактор Брайан Боннер elite. Відповідальний за випуск But the list of property owners Люк Шеньє also includes the head of state, along Адреса видавця та засновника with several key allies, of one of співпадають: Україна, м. Київ, 01004, postcommunist Europe’s most belea- guered and corruption-riddled states, вул. Пушкінська, 31А, 6-й поверх. a Radio Free Europe/Radio Liberty Реєстрацiйне свiдоцтво investigation has learned. Кв № 15261(3833ПР від 19.06.09. The Spanish properties of Ukrainian Передплатний індекс ДП Преса 40528 President Petro Poroshenko; Ihor Надруковано ТОВ «Новий друк», Kononenko, a deputy head of the president’s Bloc of Petro Poroshenko 02660, Київ, вулиця Магнітогорська, 1, party and onetime business partner; тел.: 559-9147 and Oleh Hladkovskyy, a deputy Замовлення № 13-8040 secretary of the Ukrainian National A screenshot of drone footage of the coastal villa in Spain alleged by investigative journalists to belong to З приводу розміщення реклами Security and Defense Council, had Ukrainian President Petro Poroshenko. (Radio Free Europe/Radio Liberty) звертайтесь: +380 44 591-77-88 previously been kept secret. Each of those three men owns a Відповідальність за зміст реклами lavish Mediterranean-style villa on or dering them invisible from public “If the villa is not used for the com- несе замовник. near the coast – and in Kononenko’s view. pany’s commercial activity, it should case, a second plot of land, too. Intransparency and corruption have been declared,” Kalenyuk said. Mailing address: But none of the properties is have been persistent problems Responding to Schemes’ request Kyiv Post, 31A Pushkinska, Suite 600, 6th floor enumerated in those public officials’ in Ukraine, contributing to polit- for comment, Poroshenko’s office Kyiv, Ukraine, 01004 publicly searchable asset declarations ical stagnation that followed the said: “The enterprises in which Petro Advertising that came due on October 30 as part 2004 Orange Revolution and the Poroshenko is the ultimate beneficia- tel. +380 44 591-7788 of a new, International Monetary EuroMaida Revolution a decade ry have overseas property such as fax +380 44 591-3345 [email protected] Fund – backed push to boost trans- later that unseated a president. factories, shops, warehouses, admin- Editorial staff parency and root out graft, accord- Western officials and international istrative buildings, and houses. All tel. +380 44 591-3344 ing to an investigative program of financial institutions insist such crim- this is in the form of legal entities fax +380 44 591-3345 [email protected] RFE/RL’s Ukrainian Service, Skhemy inality is still a problem and threat- specified in his declaration in accor- Subscriptions&Distribution (Schemes), that aired on Nov. 10. ens billions in assistance that have dance with the Law ‘On Prevention tel. +380 44 591-3344 Instead, the declarations of helped keep the country afloat since of Corruption.’” fax +380 44 591-3345 Poroshenko, a confectionery mogul Russian troops invaded and seized Ukraine’s new asset-declaration [email protected] before his rise to the presidency Crimea from Ukraine in early 2014. law has been hailed by Western Employment Advertising tel. +380 44 591-3344 of war-torn Ukraine in mid-2014, governments as a major step in com- fax +380 44 591-3345 and Kononenko and Hladkovskyy Spanish getaways bating corruption. [email protected] include companies that in turn own Documents obtained by Schemes But Kalenyuk and other activists Daria Kalenyuk, executive director the Spanish homes -- effectively ren- show Poroshenko’s Spanish- complain the legislation is imper- of the Anti-Corruption Action registered Feruvita S.L. – listed in Center in Kyiv. (Volodymyr Petrov) fect. For instance, she said, “vague” the president’s declaration – bought language in the law has allowed offi- a 23-year-old villa in Estepona in the driving away in a white Porsche. The cials to get away with not declaring summer of 2008, when he headed the site also published images of what assets owned by companies that they Council of Ukraine’s National Bank. was believed at the time to be the control.