A former high-ranking United Nations official has been ordered by a U.N. tribunal to repay $58.8 million lost in deals involving a British businessman who provided him with interest-free loans, a Mercedes for his wife, and perks for his sons.
The tribunal found that Vitaly Vanshelboim’s misconduct led to significant financial losses for the U.N. Office for Project Services (UNOPS), which provides infrastructure, procurement, and project management services. The tribunal ruled that Vanshelboim engaged in numerous financial deals with the British businessman, David Kendrick, related to renewable energy, sustainable housing, and the oceans, while also benefiting personally from undisclosed arrangements with Kendrick amounting to at least $3,133,186.10.
Secretary-General Antonio Guterres welcomed the tribunal’s decision and stated that the U.N. is committed to recovering the lost funds through other means and ensuring accountability for any criminal activities involving U.N. personnel. Vanshelboim’s lawyer mentioned that his client intends to appeal the decision.
Vanshelboim, who was dismissed in 2023 following an internal investigation, had connections with Kendrick’s businesses that were not disclosed to the U.N. The tribunal deemed his actions as blatant misconduct and fraud against the organization, leading it into business partnerships without authorization.
Aside from the financial dealings, it was revealed that Kendrick provided Vanshelboim with an interest-free loan facility, covered personal expenses with his credit cards, paid for property repairs and custom furniture, and even purchased a Mercedes Benz for Vanshelboim’s wife.
The tribunal concluded that Vanshelboim must repay the $58.8 million lost by UNOPS, minus certain interest and fees, with the possibility of seeking contribution from other responsible parties. The tribunal’s ruling sheds light on the extent of the financial improprieties and unethical conduct that transpired within the U.N. office.