Ukraine Uncovers $40 Million Military Procurement Fraud
Five individuals, including high-ranking defense officials, implicated in scheme involving the purchase of 100,000 mortar shells
- Ukraine's security service, the SBU, has uncovered a massive corruption scheme involving the embezzlement of nearly $40 million that was meant for the purchase of 100,000 mortar shells for the military.
- Five individuals, including former and current high-ranking officials of the Ministry of Defence and managers of arms supplier Lviv Arsenal, have been served 'notices of suspicion' and one has been detained while trying to cross the Ukrainian border.
- The contract for the shells was agreed with Lviv Arsenal in August 2022, and payment was made in advance, with some funds transferred abroad. However, no arms were ever provided and some funds were moved to other foreign accounts.
- The fight against corruption remains a major issue for Ukraine as it seeks to secure membership in the European Union.
- The scandal comes at a critical time for Ukraine, as it seeks to maintain international support and funding for its ongoing war with Russia.