Corruption crisis in Zelenskyy’s government: bags of cash and golden toilet - FT
A large-scale corruption scandal in the Ukrainian energy sector has caused a huge stir and a wave of public anger.
This was reported by the Financial Times, according to Censor.NET.
Searches of members of a criminal organisation
According to the FT, during searches by the National Anti-Corruption Bureau of Ukraine (NABU) in the luxurious Kyiv apartments of officials, sports bags filled with cash were found, and a gold toilet was found in one of them.
Law enforcement also released audio recordings of officials discussing money laundering strategies.
"These are just some of the details that have shocked Ukrainians over the past week, as President Volodymyr Zelenskyy's administration found itself at the centre of the biggest corruption scandal since he took office, destabilising Kyiv's leadership at a critical moment in the war," the publication notes.
Attempt to destroy NABU and SAPO in the summer
The FT recalled that this summer, Zelenskyy and his closest associates tried to destroy the independent anti-corruption bodies that were completing a large-scale investigation targeting the president's inner circle.
However, the president and his entourage were forced to abandon this attempt after mass protests and outrage from Ukraine's Western partners.
Despite this, this week NABU and SAPO released a series of detailed evidence of corruption, including recordings of conversations, which revealed that high-ranking officials received kickbacks for construction projects to protect energy facilities from Russian attacks, while Ukrainians suffer daily from power outages.
Public outrage and the authorities' response
The publication notes that these revelations sparked a wave of public outrage — "How the president's friends robbed the country during the war," read the headline on the news website Ukrainska Pravda.
Zelenskyy eventually demanded the resignation of Justice Minister Herman Halushchenko and Energy Minister Svitlana Hrynychuk, who were subsequently removed from the National Security and Defence Council.
He also imposed sanctions against Tymur Mindich, his friend and former business partner, who is one of the defendants in the case. According to investigators, Mindich was a co-organiser of the alleged scheme, and it was through his "back office" that about $100 million in illegal funds passed.
"He controlled the operation of the so-called 'laundromat', where funds obtained by criminal means were laundered," the NABU said.
"Zelenskyy is now keeping his distance from those involved in the case and is particularly trying to avoid any association with Mindich," political analyst Volodymyr Fesenko said in a comment to the publication.
The FT recalled that earlier, the head of the NABU detective unit, Oleksander Abakumov, said that Mindich was warned about the investigation a few hours before it began and was given the opportunity to flee Ukraine.
Another close friend and associate of Zelenskyy, former Deputy Prime Minister Oleksii Chernyshov, was accused by NABU of receiving cash in the amount of $1.2 million and €100,000, the article says.
What do anti-corruption activists say?
Zelenskyy's reaction to the scandal was "very slow and very weak," said Daria Kalenyuk, executive director of the Anti-Corruption Action Centre.
Zelenskyy first commented on the allegations against his associates on the evening of 10 November, expressing support for the investigation but without committing to any action.
His demand for the resignation of two ministers came on Tuesday, 11 November, a few hours after Prime Minister Yulia Svyrydenko announced Galushchenko's dismissal.
"Temporary suspension, not even dismissal... Would that be the reaction of a president who really knew nothing?" said Vitalii Shabunin, head of the Anti-Corruption Action Centre.
"Back in July, there was talk of a general sense of injustice... it was still quite abstract. Now we are talking about very specific offences, very specific names, very specific amounts of money," said Anastasia Radina, chair of the Verkhovna Rada Committee on Anti-Corruption Policy and a member of the Servant of the People party.
"The investigation is a success, a positive sign. However, the pressure exerted on NABU and SAPO is insane... This story can be positive, but only if Zelenskyy sides with NABU and SAPO, as well as the people of Ukraine," adds Kalenyuk.
Activists claim that law enforcement agencies loyal to the president are putting pressure on independent anti-corruption institutions.
In particular, the article mentions that in July, the Security Service of Ukraine detained NABU detective Ruslan Magamedrasulov, who is currently under investigation on charges of doing business with Russia.
Opposition demands resignation of Cabinet
The publication also recalled that the opposition party European Solidarity, led by former President Petro Poroshenko, reiterated its demand for the resignation of the current government and its replacement with a technocratic "government of unity."
However, opposition representatives did not demand Zelensky's resignation.
"We are still at war," said Rostislav Pavlenko, a member of parliament from European Solidarity.
Mindichgate
- Earlier, Censor.NET reported that NABU was conducting searches at Mindich's residence, who left Ukraine a few hours before the searches.
- As reported, on Tuesday, 4 November, searches were conducted in one of the branches of the separate divisions of NAEK Energoatom in connection with a corruption case.
- NABU is also conducting searches at the home of former Energy Minister Halushchenko and at Energoatom.
- NABU and SAPO announced a large-scale operation to expose corruption in the energy sector.
- The current Minister of Energy, Svitlana Hrynychuk, appears in NABU recordings as part of the investigation into corruption in the energy sector.
- Subsequently, the National Anti-Corruption Bureau exposed an office in central Kyiv belonging to the family of former MP and current Russian Senator Andriy Derkach. There, they kept "black accounts," recorded money, and organised money laundering.
- On 11 November, NABU released recordings featuring Minister Halushchenko and Mindich.
- Chernyshov has been notified of suspicion of illegal enrichment as part of Operation Midas.
- One of the suspects, Dmytro Basov, was remanded in custody with bail set at 40 million hryvnia.
- Galushchenko's former adviser Myroniuk was remanded in custody with bail set at UAH 126 million.
- The Cabinet of Ministers submitted proposals to the National Security and Defence Council to impose personal sanctions on Tymur Mindich and Oleksandr Tsukerman following a NABU investigation into corruption in the energy sector.
- Earlier, Ihor Myronyuk and the executive director of security at Energoatom, Dmytro Basov, who appeared in NABU's videos under the nickname Tenor, were remanded in custody for 60 days.
- Another suspect, Lesya Ustymenko, was also remanded in custody for 60 days.
- The High Anti-Corruption Court chose a preventive measure for Ihor Fursenko (known as Ryoshik in NABU recordings), a suspect in a case of corruption in the energy sector.
- On 13 November, the High Anti-Corruption Court arrested Lyudmila Zorina, with bail set at 12 million hryvnia.
- Zelenskyy imposed sanctions against Mindich and Zuckerman.
