Ukraine's anti-graft agency alleges $100 million energy kickback scheme

KYIV, November 11 ------ Ukraine's anti-corruption bureau said it was investigating the country's energy sector, alleging a $100 million kickback scheme involving the state nuclear power company. The state agency, which operates independently of the Ukrainian government, announced the investigation as Ukraine braces for winter with its power sector under frequent fire from Russia and facing regular outages.

It alleged in a statement published on social media that a "high-level criminal organisation" was behind the scheme, which it said was led by a businessman and included a former adviser to the energy minister, nuclear power operator Energoatom's head of security, and four "back office" workers. "In total, approximately 100 million USD passed through this so-called laundromat," the agency said in the statement, which did not name any of the individuals. Energoatom currently operates three nuclear plants that supply Ukraine with more than half of its electricity.

Ukraine's President Volodymyr Zelensky said in his evening address that officials needed to work with the anti-corruption bureau to root out graft. Four months ago, Zelensky sought unsuccessfully to restrict the bureau's independence, before being forced into a U-turn by protests. "Everyone who has been involved in corruption schemes must receive a clear legal response. There must be criminal verdicts," Zelensky said on Monday.

Prime Minister Yulia Svyrydenko said her government was waiting for the outcome of the investigation and offered any help anti-corruption bodies might need. "Acting against corruption is one of the government's key priorities," she said. "There must be sentences and the inevitability of punishment for unlawful activity." The opposition European Solidarity party, led by ex-President Petro Poroshenko, said on Monday evening it was initiating a parliamentary procedure to oust the entire cabinet of ministers in response to the allegations.

A lawmaker from another opposition party tabled a separate motion to dismiss the energy and justice ministers. For now, the moves are unlikely to succeed in a chamber where Zelenskiy's allies command a de facto majority, but are a sign of growing political challenges to the president's once-unrivalled wartime authority.

Source: reuters.com