Belongings in the trash, owner in the hospital: Popenko called the sale of a retiree’s apartment to settle debts “horrible”

18 June 09:48

A story about the sale of a 76-year-old retiree’s apartment due to utility bill debts has caused a stir in Kyiv. After the apartment was sold, it emerged that its former owner had been found in a hospital in the Minsky district, and, according to journalists, his belongings had begun to be removed from the apartment. Oleg Popenko, an expert in the housing and utilities sector, called this situation indicative of the problems surrounding utility debts, social protection, and the operation of the debt collection system, according to "Komersant Ukrainian"

What Happened to a Pensioner’s Apartment in Kyiv

The story concerns 76-year-old Ivan Leonidovich, who owned a one-room apartment in Troyeshchyna. The apartment was sold due to utility debts following court and enforcement proceedings.

Popenko called the situation a “horrific case” and drew attention not only to the legal aspects of the apartment’s sale but also to the social consequences for the elderly man.

“A horrific case in Kyiv, illustrated by the first apartment sold for debts in Kyiv—its former owner was found in a hospital in the Minsky district,” Popenko wrote.

According to him, journalists managed to locate the pensioner only after the apartment had already been sold.

“Journalist Oleksandr Lytvyn reported that he managed to find 76-year-old Ivan Leonidovych, who owned a one-room apartment in Troieshchyna that was recently sold to cover utility debts,” the expert noted.

What is known about the apartment’s new owner

According to Oleg Popenko, the new owner of the apartment is real estate agent Dmytro Beregovyi. The expert noted that Beregovyi allegedly claimed the pensioner had been moved to another residence, but the man was later found in a hospital.

“The new owner—real estate agent Dmytro Beregovyi—assured us that he had taken the pensioner to another apartment, but it turned out that he is currently at the Kyiv City Clinical Hospital No. 8 on Yuri Kondratyuk Street, 8. And his belongings are already being thrown out into the trash by people hired for that purpose,” Popenko stated.

Separately, the expert drew attention to the auction participants. According to him, the companies that took part in the auction may have been linked to the new owner of the apartment.

“It also turned out that all three companies that participated in the bidding for the apartment were linked to Dmytro Beregov, who lives abroad and is the owner of Perfect Team LLC, which specializes, including the purchase of distressed real estate,” Popenko wrote.

At the same time, the expert noted that, formally, this does not necessarily constitute a violation of the sale procedure.

“But this is not a violation of the sales procedure,” he added.

How much was the apartment sold for?

According to Oleg Popenko, the apartment was sold for just over 1 million UAH, while it is now being resold for 1.8 million UAH.

The former owner’s debt to the housing cooperative, according to published data, amounted to approximately 875 thousand hryvnias. After the debt is repaid, the retiree is set to receive the difference—about 125 thousand hryvnias.

“Since the pensioner’s apartment was sold for just over 1 million hryvnias and is already being resold for 1.8 million hryvnias, and the former owner’s debt to the housing cooperative amounts to 875,000 hryvnias, he will receive the difference of 125,000 hryvnias,” Popenko noted.

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How Could Such a Debt Have Accumulated?

A separate aspect of this story is the origin of the large debt. According to the expert, journalists found that the debt may have accumulated due to charges for water losses in a large building.

Popenko explains that for years, water losses in the 504-unit building could have been charged to the man because he did not have individual meters.

“In addition, journalists found that such a large debt accumulated because, for years, all water losses in the 504-unit building were charged to the man, since he did not have individual meters—which is also legal,” the expert wrote.

According to him, the pensioner himself did not address this issue and, until the very end, did not believe he could lose his apartment.

“But he refused to address this problem and, until the very end, did not believe that he would be evicted from his apartment—effectively onto the street,” Popenko noted.

What will happen to the pensioner next

For now, the former owner of the apartment can count on assistance from social services. However, according to Oleg Popenko, it is still unknown what form this assistance will take and whether it will be sufficient.

“Now he can only count on assistance from social services, but what form that will take—or whether it will be provided at all—remains unknown,” the expert wrote.

This case raises a broader question: what should the state and local authorities do when an elderly person loses their only home due to debt?

Why This Case Is Considered a Precedent

In April, a court for the first time authorized the seizure and sale of a pensioner’s only home to settle debts owed to a housing cooperative. That is precisely why the situation has garnered so much attention.

According to Popenko, the apartment was sold for a price nearly half the market value.

“Let me remind you that in April, a court for the first time authorized the seizure and sale of a pensioner’s sole residence to settle debts, after the housing cooperative sued the pensioner for refusing to pay utility bills. Recently, the apartment was sold for a price that was nearly half the market value,” the expert noted.