The Ministry of Justice of Ukraine reported that a Chinese construction company transferred almost UAH 500 million of guarantee funds to the accounts of the State Agency for Reconstruction and Infrastructure Development and the International Bank for Reconstruction and Development following a court decision.

"On January 17, 2024, funds totaling almost half a billion hryvnia in U.S. dollar equivalent were transferred by the Bank of China to the account of the State Agency for Reconstruction and Infrastructure Development and the International Bank for Reconstruction and Development. The case is closed," Deputy Minister of Justice Iryna Mudra is quoted as saying in the press release.

According to the Ministry of Justice, in October 2023, the court rejected the Chinese Xinjiang Communications Construction Group's three appeals in the case of non-fulfillment of the contract and recognized as valid the decision of the court of first instance, which confirmed the existence of absolute immunity on the Ukrainian side. On December 19, 2023, the court also canceled three decisions to secure the claim, unblocking the payment of guarantee funds to the State Agency.

As reported, contracts between Ukravtodor (now the State Agency for Reconstruction and Infrastructure Development) and the Chinese state-owned company Xinjiang Communications Construction Group for repair work on the M-12 highway and reconstruction and overhaul of the M-03 highway were concluded in 2017. The contracts were secured by contractor guarantees from the Bank of China in the amount of $8.5 million, as well as a guarantee of the return of an advance on one contract for $3.85 million.

Later, in 2018 and 2019, Ukravtodor terminated contracts with the company due to failure to comply with the work schedule and improper maintenance of the road section, which led to its accident. After termination of the contracts, the contractor had to return guarantee funds in the amount of $8.5 million to Ukravtodor, as well as $3.85 million to the World Bank.