According to a coindesk report, a U.S. steel plant owned by Ukrainian billionaire Ihor Kolomoisky is said to have closed down and is currently reportedly carrying out Bitcoin mining.
Kolomoyskyy is one of Ukraine's most influential people with a net worth of 1.1 billion US dollars. He is the former owner of PrivatBank, a major private bank in the country. Until 2015, he was the governor of Dnepropetrovsk region.
His CC Metals & Alloys steel plant in Calvert, Kentucky was hit by the coronavirus pandemic, and the U.S. Department of Justice has also filed corruption charges against Kolomerski. Radio Liberty reported on Monday that the plant was closed and let go this summer, but "Every few months, it will reignite the stove and urge the workers to return”。
Employees told Multimedia Broadcasting Corporation that the only ongoing activity of the factory is Bitcoin mining. The source said that one of the warehouses was full of mining hardware equipment, although it is not clear how many types of equipment and what type or brand of equipment are on site.
Kolomoisky and his partner Gennady Bogolyubov acquired the plant in 2011 for US$188 million. As part of its plans to establish a metal business in the United States, the company added seven plants in five states in the United States.
A court document showed that the holding company Optima Specialty Steel filed for bankruptcy in 2016 and transferred the ownership of the plant to another company, Georgian American Alloys, of which Kolomoisky and Bogolyubov were the beneficiaries.
The US Department of Justice further accused them of embezzling money from PrivatBank from 2008 to 2016, accusing Kolomoisky and Bogolyubov of buying real estate and businesses in the United States, which further exacerbated their plight. The Ministry of Justice accused the partners of “obtaining fraudulent loans and credit lines” and then nationalized by the National Bank of Ukraine in 2016. The Ministry of Justice said that they “usually created a physical network under the name “Optima” to further Loot the stolen funds and invest. "