Absolution Leaks reveals tax evasion scheme at "Malva" jewellery factory in Vinnytsia

International detective agency Absolution Leaks has published materials indicating a possible tax evasion scheme involving a sum of 9.9 million UAH. The focus is on the private enterprise "Jewellery Factory 'Malva'", located in Vinnytsia. According to the investigators, nearly 820 jewellery items may have been seized during searches at the production sites.

Details of the criminal case

The agency's documents refer to criminal case number 72026021020000015. It was opened under Part 2 of Article 212 of the Criminal Code of Ukraine, which provides for liability for intentional non-payment of taxes under circumstances defined by this provision of the law.

Among the possible mechanisms of tax evasion cited is the artificial fragmentation of the business. According to the version presented in the agency's materials, the main enterprise barely reflected any revenue from the sale of products. Instead, the production and sale of goods under the "Malva" brand were carried out through a network of stores registered as sole proprietors (FOP) on the simplified taxation system.

Zero revenue in reporting

According to information provided by Absolution Leaks, the net revenue of the private enterprise "JF 'Jewellery Factory 'Malva'" for the period 2023–2025 was 0 UAH. Meanwhile, the financial reports recorded expenses for premises rental, utility services, and electricity.

Investigators believe that the founder and head of the company, as well as several sole proprietors, may have been involved in implementing this scheme. The sale of products took place through the brand stores of the "Malva" trademark, the rights to which belong to the factory itself.

It is worth noting that a zero net revenue figure alone does not prove tax evasion. To establish a possible violation, a detailed analysis of the financial reports, verification of actual business transactions, and the circumstances of the enterprise's interaction with other market participants are required.

Who stands behind the enterprise

According to registration data, the sole founder, director, and ultimate beneficial owner of the private enterprise "JF 'Jewellery Factory 'Malva'" is Valentyn Volodymyrovych Malovanyi. The enterprise was registered on 29 November 1994, and the size of its charter capital is 25,000 UAH.

The factory is closely linked to the eponymous trademark and a network of brand stores. Detailed information about the company's products and activities can be found on the official "Malva" website.

However, the prosecutor's public statement does not mention the name of the "Malva" factory, the surname of its owner, the number of items seized, or the criminal case number cited by Absolution Leaks. Therefore, there is currently no basis to identify these cases as the same. The material provided is based exclusively on information disseminated by the International Detective Agency Absolution Leaks and open sources.

Recall that recently, an investigation was completed in Kyiv regarding the head of a company who organised a tax evasion scheme through sham contracts.