Ukrainian authorities detained an unnamed official amid a corruption investigation that has targeted close associates of President Volodymyr Zelensky.
Ukrainian authorities detained a former deputy energy minister today on suspicion of embezzling funds from the state-owned nuclear power company.
The move comes amid a wider corruption investigation, which has ensnared people close to President Volodymyr Zelensky who are suspected of laundering about $100 million from Energoatom, the state energy enterprise.
Ukraine’s Security Service (SBU) did not name the official it detained, but said in a public statement that he had held his government post until July, and had previously worked in a top position at Energoatom.
“He organized a criminal scheme to seize funds from the state budget of Ukraine,” the SBU said, accusing the official of inflating the costs of contracts for insurance against “nuclear damage.”
The excess funds were then allegedly funneled into “fictitious enterprises controlled by the official.”
Ukrainian Prosecutor General Ruslan Kravchenko said on Telegram that authorities had traced funds through shell firms in Cyprus, and a Russian holding company.
“This is a classic scheme of hiding the ultimate beneficiaries through foreign jurisdictions and shell companies,” Kravchenko said. “And in conditions of war, any hidden connections with Russian capital in strategically important areas are especially dangerous.”
The detention comes against the backdrop of a 15-month investigation led by the National Anti-Corruption Bureau of Ukraine (NABU) and dubbed “Midas.” The probe has identified “shadow managers” who allegedly forced contractors to pay 10 to 15 percent kickbacks.
Last week, Andriy Yermak, head of the president’s office, resigned amid investigative actions by NABU and the Specialized Anti-Corruption Prosecutor’s Office. The investigation has also targeted Timur Mindich, an alleged ringleader in the corruption scheme who co-owned a film production company with Zelensky before he entered politics.
Zelensky addressed the scandal in a November 10 speech, calling for "criminal verdicts” for those involved in corruption.
