Ukrainian defense officials and corporate leaders sought to steal about $40 million through a fraudulent arms procurement scheme, the country’s main intelligence and security agency said Saturday. The corruption allegations were confirmed by Ukraine’s defense ministry, which has served implicated officials with notices of suspicion.
The SBU security service said that current and former senior officials of the defense ministry and heads of affiliated companies “attempted to steal almost UAH 1.5 billion ($40 million) from the budget by purchasing 100,000 mortar rounds for the Armed Forces.” They allegedly signed a contract to buy the shells from the arms supplier Lviv Arsenal in August 2022, after which the defense ministry “transferred the full amount stipulated in the signed document to the company’s accounts.”
According to Ukraine’s prosecutor general, the stolen funds have been seized and will be returned to the defense budget. Ukraine has weathered a series of corruption scandals in recent months, including several others within the defense ministry. Reining in corruption is one of the conditions the European Union has set for Ukraine as it seeks membership.