The State Property Fund of Ukraine (SPFU) has appealed to the High Anti-Corruption Court with a request to lift arrests on the Ukrainian section of the Samara-Western Direction oil product pipeline. The arrests, imposed by the High Anti-Corruption Court in 2021 and 2023 as part of a criminal proceeding, effectively block the full operation of the facility — despite the fact that the state's right of ownership has already been confirmed by all court instances, including the Supreme Court.
What is this facility and how did it end up in private hands
The Samara-Western Direction oil product pipeline is a Soviet main pipeline over 1,400 km long, which includes pumping stations, reservoirs, and production infrastructure. After the collapse of the USSR, the facility formally remained in Russian ownership. Through courts, Ukraine had been proving its right to it since 2005 — the Appellate and High Commercial Courts only confirmed this in 2014–2015.
It was in this window — between the judicial confirmation and state registration — that, according to investigative materials, the scheme was implemented. As established by the National Bureau of Investigation and the Security Service of Ukraine, Viktor Medvedchuk was the organizer of the illegal privatization, which he began in 2015 in coordination with the then political leadership. Third parties were involved in the scheme and received management positions in the company "Prykarpatzakhidtrans" — the formal owner of the pipeline. The real owners of the company were considered to be Belarusian businessman Mykola Vorobey and German citizen Anatoly Shefer.
"After taking control of the pipeline, Medvedchuk and his associates ensured its operation through 'Prykarpatzakhidtrans,' and the profits obtained were withdrawn to accounts of affiliated foreign companies and distributed among themselves"
— from materials of the Office of the Prosecutor General
The value of the facility at the time of actual takeover was 1.4 billion hryvnias. Medvedchuk is charged with organizing the seizure of property in particularly large amounts, money laundering of 29.9 million euros, abuse of authority, and falsification of expert conclusions. In March 2026, the indictment was sent to court.
Why arrests have not been lifted — and what has been preventing it
Since May 2019, diesel fuel pumping through the pipeline has been blocked. "Ukrtransnafta" has been effectively managing the facility since June 2021 — then the Asset Recovery and Management Agency (ARMA) concluded a contract with it for transportation, storage, and transshipment of oil products for a five-year period. In July 2025, ARMA increased the monthly payment to the administrator from 1.1 million to 5 million hryvnias.
However, arrests imposed as part of the criminal proceeding remained in place. The SPFU considers them unnecessary after the state confirmed its right of ownership and asks the High Anti-Corruption Court to lift them. Analysts at the IZI Institute noted additional risks back in May 2025: incomplete registration of ownership rights and the preservation of the influence of "Prykarpatzakhidtrans" personnel in the management of the facility.
What will happen after the arrests are lifted
- The SPFU will officially transfer the pipeline to the management of JSC "Ukrtransnafta"
- The enterprise will be able to fully operate the critical infrastructure facility
- The criminal proceeding against Medvedchuk and the management of "Prykarpatzakhidtrans" will continue in court regardless of the property issue
The fundamental question here is not a legal one, but an operational one: will "Ukrtransnafta" manage to register the right of ownership and obtain all necessary permits before the five-year contract with ARMA expires — and what will happen to the facility if these procedures are delayed again.
