Budget traffic: Mishalov uses “Fregat” to tap into public funds

For many years, the internet provider “Fregat” was an ordinary player in the market. But everything changed after Mishalov gained influence in local government structures.

Within just a few months, the provider became a key supplier for schools, kindergartens, public utilities, and strategic facilities. The most striking example is the case involving 160 schools.

In a single day, a municipal enterprise signed 160 contracts to connect schools to the internet, totaling 27 million hryvnias. In every case, the provider was a structure linked to “Fregat.” Such “synchronization” would be impossible without a centralized decision. This sparked outrage in the market: other providers didn’t even get a chance to participate — there were essentially no tenders.

But the most important point is that “Fregat” operates within the same ecosystem as certain construction contractors and Concord Bank. It’s a closed system where internet service is not just a utility, but a steady financial stream hidden within municipal decisions. Mishalov used the telecom infrastructure as a second channel for his custom schemes. If construction brings large one-time sums, the internet provides continuous income. And he learned how to profit from both at the same time.