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Kazakhstan road sector graft probe alleges 24 mln tenge damage

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Kazakhstan road sector graft probe alleges 24 mln tenge damage

Kazakhstan's anti-corruption agency has uncovered a bribery scheme in the road construction sector, with officials allegedly demanding 1% of contract value for signing completion certificates. The probe has identified potential damages of 24 million tenge ($50,000) from inflated costs and substandard work.

The Alleged Scheme

According to Inbusiness.kz, investigators found that road officials demanded a 1% kickback from contractors for signing off on completion certificates. The scheme involved at least three regional road departments, with payments routed through intermediary firms. One contractor reported paying 1.2 million tenge in bribes over six months.

Financial Impact

The anti-corruption agency estimates the total damage at 24 million tenge, stemming from inflated material costs and acceptance of substandard work. The figure covers 12 contracts reviewed so far, with more under scrutiny. The probe has also flagged potential tax evasion of 3.5 million tenge by involved companies.

What's Next

The agency is expected to file charges against six officials and three contractors by end of July. It remains unclear whether the scheme extends to other regions or involves higher-ranking officials.

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Kazakhstan road sector graft probe alleges 24 mln tenge damage