KYIV: Ukraine’s SBU security service revealed on Saturday a corruption scheme in the military’s arms procurement, amounting to approximately $40 million. This revelation, corroborated by Ukraine’s Defence Ministry, carries significant implications in a country grappling with Russia’s ongoing invasion. The announcement of widespread procurement fraud underscores the challenges Ukraine faces in addressing corruption issues, a crucial aspect as it pursues European Union membership.
The SBU’s investigation exposed officials from the Ministry of Defence and managers of arms supplier Lviv Arsenal involved in embezzling nearly 1.5 billion hryvnias in the purchase of shells. The embezzlement specifically pertains to the acquisition of 100,000 mortar shells for the military. The SBU implicated both former and current high-ranking officials of the Ministry of Defence and heads of affiliated companies in the corruption scheme.
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According to the investigation, a contract for the shells was finalized with Lviv Arsenal in August 2022, six months into the ongoing conflict. The payment, made in advance, included the transfer of funds abroad. However, the military never received the contracted arms, and some of the funds were subsequently redirected to other foreign accounts. The SBU has issued “notices of suspicion” to five individuals involved, marking the initial phase of legal proceedings. One suspect was detained while attempting to cross the Ukrainian border.
Corruption within the military remains a sensitive issue in Ukraine, impacting wartime public morale and influencing the country’s pursuit of EU membership. The dismissal of Defence Minister Oleksii Reznikov in September, despite his positive reputation in representing Ukraine to Western allies, highlighted the challenges posed by corruption cases within the military. While not personally implicated in corruption, Reznikov faced allegations related to the supply of food to troops and the procurement of suitable clothing for servicemen during his tenure.
