On August 27, 2025, the Prosecutor General's Office of the Republic of Kazakhstan, together with the Financial Monitoring Agency (FMA), released the results of an inspection of JSC Agrarian Credit Corporation (ACC). The inspection was prompted by violations related to the implementation of projects in the agricultural sector.

According to a press release from the Prosecutor General's Office, oversight agencies focused their attention on the activities of JSC "Agricultural Support Fund," which became part of the ACC in 2021. The audit revealed that serious violations of the law were committed during the construction of two apple orchards in Shymkent.

As it turned out, the fund's management signed acceptance certificates in 2021 for a project that, in fact, did not meet either the technical specifications or the stated production parameters. Despite the fact that some of the work was only formally completed, the client accepted it as complete.

The amount of uncompleted work amounted to 430.6 million tenge. The total damage to the state, taking into account all associated costs, reached 685.8 million tenge. These funds were intended to support agriculture and develop the agricultural sector, but in fact, a significant portion was misused.

On July 10, 2024, a criminal case was opened under the article "Abuse of Official Powers" of the Criminal Code of the Republic of Kazakhstan. The Shymkent Department of Economic Investigations led the investigation.

The investigation established that the former deputy chairman of the AKK board, I.M., acted in the interests of the contractor, S.R. He signed documents accepting work that was never actually completed. This decision caused serious damage to the state and jeopardized the effectiveness of the agricultural sector support program.

In addition to the main criminal case, law enforcement agencies opened additional pre-trial investigations. These concerned a broader range of violations, classified under paragraph 2, part 4, Article 190 of the Criminal Code of the Republic of Kazakhstan ("Fraud") and paragraph 2, part 4, Article 189 of the Criminal Code of the Republic of Kazakhstan ("Misappropriation or embezzlement of another's property"). The cases were consolidated into a single proceeding.

As a result of a comprehensive investigation, investigators were able to gather evidence confirming the involvement of both the former deputy chairman of the ACC and the contractor in the crime.

On August 7, 2025, the Shymkent Specialized Interdistrict Criminal Court delivered its verdict. Both defendants in the case—former AKK top manager I.M. and contractor S.R.—were found guilty of abuse of office, fraud, and embezzlement.

The court sentenced each person to eight years in prison, followed by confiscation of property in favor of the state. Thus, the judicial system sent a signal that abuses in the implementation of state programs and projects in the agricultural sector are unacceptable.

The verdict has not yet entered into legal force. The parties can appeal it.

Experts note that the identified violations not only affect the state budget but also undermine farmers' and investors' trust in agricultural support institutions. Funds allocated for agricultural development should be used directly to increase productivity, modernize infrastructure, and support farms.

Such cases of corruption and abuse result in resources being diverted from economic development to the pockets of unscrupulous contractors. Ultimately, the entire agricultural sector suffers, missing out on the promised investments.

The Prosecutor General's Office emphasized that combating corruption and abuse remains a priority. Particular attention is being paid to areas that rely on state subsidies and preferential financing.

"We will continue to respond harshly to instances of embezzlement and abuse in the implementation of government programs. Accountability for the use of budget funds must be maximized. This is the only way to ensure the effectiveness of government support and public trust, " the agency's official statement reads.

Analysts believe this case will serve as a showcase and lead to increased oversight of quasi-governmental entities. The need to implement new audit and monitoring mechanisms to promptly identify violations is already being discussed.

Specifically, this concerns the digitalization of control processes and the expansion of the powers of independent audit commissions. Furthermore, the Financial Monitoring Agency, together with the Prosecutor General's Office, is expected to continue audits in other regions of the country.

An inspection by the Prosecutor General's Office and the Association of Financial Monitoring (AFM) revealed serious violations in the operations of JSC Agrarian Credit Corporation. The incident with the apple orchards in Shymkent demonstrated the importance of transparency and accountability in the implementation of public projects.

Holding high-ranking officials and contractors accountable is an important step in the fight against corruption. However, experts emphasize that it is necessary not only to punish the guilty but also to create a system that will prevent similar incidents in the future.

The court's verdict in the case of I.M. and S.R. is a signal to all participants in state programs: any abuse of official authority will inevitably lead to criminal liability.

In this way, the state demonstrates its determination to protect the interests of society and ensure that budgetary funds work exclusively for the benefit of citizens and the development of key sectors of the economy.