The Ukrainian government of Volodymyr Zelensky is being shaken by a major corruption scandal at a time when Ukrainian forces are under pressure on the front lines and the country’s energy infrastructure faces Russian attacks. Energy Minister Svitlana Hrynchuk and Justice Minister German Galushchenko submitted their resignations just hours after Zelensky’s public call for them to leave the government. The scandal raises questions about Zelensky’s leadership.
Volodymyr Zelensky: A heavy shadow over the Ukrainian government
The administration of American President Donald Trump had already reduced support to Kyiv, partly due to previous allegations of resource misuse.
The scandal erupted at the worst possible time for Zelensky, as Ukrainian forces are being forced to retreat from some front-line positions despite continuing to inflict heavy losses on Russian invaders since 2022. Meanwhile, attacks on energy infrastructure have led to widespread power outages ahead of winter.
The corruption scandal
After a 15-month investigation that included 1,000 hours of wiretapping, anti-corruption authorities announced this week that they had found evidence of “kickbacks” worth approximately $100 million in the energy sector. According to the Associated Press, the case led to the arrest of five people, while seven others are connected to the scandal.
Charges from Ukraine’s National Anti-Corruption Bureau (NABU) and the Specialized Anti-Corruption Prosecutor’s Office (SAPO) state that officials received payments from contractors working on projects to protect infrastructure from Russian attacks. NABU named the network “Midas.” Among the suspects, according to authorities, are a businessman, the former advisor to the Energy Minister, and an executive responsible for protection at the state nuclear energy company Energoatom.
“Now, the situation is extremely difficult for everyone in Ukraine with power outages, Russian strikes, and losses,” Zelensky said in his Wednesday address, according to the Ukrainian presidency’s website.
“It is absolutely unacceptable, amid all this, to have networks in the energy sector. At this moment, we all must protect Ukraine. If someone undermines the state, they will be held accountable. If they violate the law, they will be held accountable,” he added.
However, the scandal has raised questions about what senior Ukrainian officials knew and when they learned about the case.
Protests erupted in Ukraine in July after Zelensky signed legislation that, according to his critics, would weaken the independence of the anti-corruption authorities that conducted the investigation. The Ukrainian government had cited potential Russian influence as justification for limiting the powers of these agencies.
The political upheaval
Ukrainian President Volodymyr Zelensky stated that “there must be absolute integrity in the energy sector, in all processes without exception. No networks. And it is positive that Ukraine’s Cabinet of Ministers will provide full support to the investigation and all procedural and judicial actions.”
In its announcement, Ukraine’s National Anti-Corruption Bureau (NABU) reveals that “NABU and SAPO uncovered a criminal organization consisting of current and former officials, a well-known businessman, and other individuals. The members had developed an extensive corruption system to influence strategic state enterprises, particularly JSC “NNEGC Energoatom,” to illegally secure benefits and launder money.”
Oleksandr Merezhko, a member of parliament from Zelensky’s party, told the Associated Press that “domestically, this scandal will be used to undermine the country’s unity and stability. Abroad, our enemies will exploit it as an argument to stop aid to Ukraine. The image is really bad in the eyes of our European and American partners. At a time when Russians are destroying our energy network and people are enduring blackouts, some at the top were stealing money in the midst of war.”
Former Texas Congressman Ron Paul notes: “Now we see a massive corruption scandal erupting right next to Ukrainian President Zelensky. Ending the war in Ukraine could easily have been achieved if the flow of money had stopped.”