Ukrainian deputy suspected of illegally concealing cryptocurrency assets

Key points:

• The Prosecutor General’s Office of Ukraine is investigating the activities of Poltava City Council deputy Alexander Kalutsky, who did not declare cryptocurrency worth over 200 million UAH.
• According to the investigation, from 2022 to 2024, he systematically converted cash into cryptocurrency through exchange offices under his control.
• If found guilty, he faces up to two years in prison and a ban on holding public office.

The Prosecutor General’s Office of Ukraine is investigating the activities of an official of the Poltava City Council suspected of deliberately providing false information during mandatory disclosure of financial information.

It is reported that Deputy Alexander Kalutsky did not declare cryptocurrency totaling more than 200 million UAH, or about $4,77 million. According to the investigation, the hidden assets belonged to both Kalutsky and his close relatives.

The deputy did not declare cryptocurrency from 2022 to 2024. Although, he later submitted updated financial documents for 2025, which listed some virtual assets.

According to Kalutsky’s declaration, in early 2024, he purchased a large amount of cryptocurrencies, including Bitcoin, Ethereum, Litecoin, Avalanche, Dash, Uniswap, Near, as well as less popular tokens such as Polkadot, Cosmos, Arbitrum, Starknet, Flow, Optimism, ID, HFT, USTC, and MEME. The total investment at the time of purchase was more than 33 million UAH.

What the investigation revealed

Investigations conducted by the Security Service of Ukraine and the National Police showed that the updated data for 2025 was also inaccurate. The agency noted:

“According to operational data, the man systematically transferred large amounts of cash to controlled exchange points, where the funds were converted into cryptocurrency.”

Law enforcement officers conducted a series of searches at the residences of the deputy and his relatives, seizing receipts for currency transactions, financial documents, bank cards, mobile phones, and other evidence of illegal activity.

If found guilty, Kalutsky faces up to two years in prison and the potential loss of the ability to hold public office for up to three years.

According to the publication Mezha, the number of Ukrainian officials and deputies declaring cryptocurrency is growing every year. In 2024, 2200 declarations by officials listed crypto assets totaling 786 million UAH. This is 49% more than in 2023.

In August, India’s Cryptocurrency Taxation Center tightened control over cryptocurrency taxation to identify undeclared assets.