11:12 01.02.2017

Airport Kyiv terminates cooperation with Pavo duty free shop over suspicions of selling smuggled goods

2 min read
Airport Kyiv terminates cooperation with Pavo duty free shop over suspicions of selling smuggled goods

The Kyiv International Airport (Zhuliany) has terminated cooperation with the Pavo duty free shop over suspicions of selling smuggled goods.

The airport told Interfax-Ukraine, referring to Board Chairman Denys Kostrzhevsky, Pavo Group has been operating in the Kyiv airport since 2010.

"These are businessmen from Donetsk who cooperated with us until recently. They are representatives of the previous power. They were close associates of the previous leadership of the country. They continued using the same methods used by the previous governors. There are several criminal cases against smuggling of goods by Pavo Group. We suspect that they used the duty free shop located on the territory of the airport as an umbrella for their unlawful operations," he said.

Kostrzhevsky said that when employees of Master-Avia (the managing company of the airport) were called to law enforcement agencies to witness about possible smuggling by Pavo it was decided to terminate cooperation with these partners. A lack of financial discipline at the company also influenced this decision.

"As for new leasers, we held an open tender. Almost all duty free operators presented in Ukraine took part in it. BF-group had the best offers. This company is present at the Boryspil airport," he said.

Kostrzhevsky offered better financial conditions and a large range of goods.

"Earlier the Pavo duty free shop sold mainly cigarettes and alcohol. BF-group took a liability to expand the range of foods – textile, perfumes, cosmetics, electronics and other goods. The new leasers will also reconstruct the premises and would make it more comfortable for passengers," he said.

He added that according to the agreement signed with the new leaser the airport will receive 30% more of rent rates than under the old agreement with Pavo.

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