Ukraine's SBU security service announced that it has discovered a corruption scheme in the country's procurement of military equipment, which amounts to approximately $40 million.
The allegation of vast procurement fraud, verified by Ukraine's Defence Ministry, will have far-reaching consequences in a country plagued by Russia's nearly two-year incursion.
The effort to eradicate widespread corruption remains a fundamental concern as Ukraine pursues membership in the European Union.
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The Security Service of Ukraine (SBU) claimed an inquiry "exposed officials of the Ministry of Defence and managers of arms supplier Lviv Arsenal, who stole nearly 1.5 billion hryvnias in the purchase of shells."
"According to the investigation, former and current high-ranking officials of the Ministry of Defence and heads of affiliated companies are involved in the embezzlement."
The corruption, it claimed, involved the purchase of 100,000 mortar shells for the military.
The SBU stated that a contract for the shells was signed with Lviv Arsenal in August 2022, six months into the war, and payment was made in advance, with some cash transported overseas.
However, according to the document, no arms were ever given, with some monies being transferred to other offshore accounts.
According to the statement, five people were served with "notices of suspicion" - the first stage in Ukrainian legal proceedings - at both the ministry and the armaments supplier. One suspect, it added, was apprehended while attempting to reach the Ukrainian border.
Corruption inside the military has been a particularly delicate subject in Ukraine as it attempts to preserve wartime public morale while presenting its case for membership in the 27-nation EU.
Oleksii Reznikov, Ukraine's defense minister, was fired in September due to corruption allegations despite having a great reputation for representing Ukraine in meetings with Western partners.
