Grenades never delivered
Almost $40 million embezzled from Ukrainian military
January 28, 2024, 5:51 a.m
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Another case of corruption shakes the Ukrainian Defense Ministry. According to intelligence information, officials and executives of a weapons supplier are said to have embezzled around $40 million.
The Ukrainian domestic secret service SBU has uncovered a case of corruption in the purchase of weapons by the Ukrainian military. The damage is said to amount to almost $40 million. “According to the investigation, former and current high-ranking officials of the Ministry of Defense and heads of subsidiaries are involved in the embezzlement,” the SBU said. An investigation “exposed Defense Ministry officials and managers of arms supplier Lviv Arsenal.” The embezzlement involved the purchase of 100,000 mortar shells for the military, the statement said.
According to the SBU, a contract was concluded with the largely unknown company Lviv Arsenal to purchase the grenades in August 2022, six months after the start of the war. The payment was made in advance, with some funds being transferred to another company in the Balkans. However, according to the statement, weapons were never delivered. The stolen funds were confiscated. “Suspicion reports” were issued against five people in both the ministry and the weapons supplier. This is the first stage of a Ukrainian court case. A suspect was arrested while trying to cross the Ukrainian border.
A massive procurement fraud has also been confirmed by the Ukrainian Ministry of Defense. Corruption within the military is a particularly sensitive issue in Ukraine as the country seeks to maintain public morale and also seeks to join the EU. If convicted, those involved could face up to twelve years in prison.