Latest news with #ServantofthePeople
Qatar Tribune
02-08-2025
- Politics
- Qatar Tribune
Four arrested for alleged bribery over inflated drone prices in Ukraine
DPA Kiev Four arrests have been made in Ukraine following the discovery of a new bribery scandal involving drone manufacturers' contracts that were reportedly signed at significantly inflated prices, harming the country's finances. The controversy comes days after President Volodymyr Zelensky reversed course on a high-profile bill concerning the independence of the country's anti-corruption office. Authorities in Kiev reported the arrests on Saturday and said that one suspect is Oleksii Kuznetsov, a member of parliament from Zelensky's party, Servant of the People. The party said Kuznetsov's membership has been suspended for the duration of the investigation. The accusations from anti-corruption campaigners also target civil servants at the municipal level and members of the National Guard. Interior Minister Ihor Klymenko announced that the uniformed personnel involved have also been suspended from duty. The suspects are alleged to have signed contracts for the purchase of drones at inflated prices and then pocketed 30% in bribes. The anti-corruption campaigners also released photos of bundles of cash. However, no information has yet been provided on the total financial damage to the state budget. Corruption scandals in arms deals have repeatedly surfaced in Ukraine, which has been defending itself against a full-scale Russian invasion for over three years. Zelensky reverses course on anti-corruption office Zelensky has been briefed on the investigations. In his pursuit of EU membership for Ukraine, he has repeatedly promised Brussels a categorical fight against corruption. 'There can only be zero tolerance for corruption, clear teamwork to expose bribery, and ultimately a fair verdict,' he stated on his Telegram channel. 'It is important that anti-corruption campaigners work independently.' He added that a law passed on Thursday provides all the necessary opportunities for this. Previously, however, Zelensky had done the opposite by passing a law that placed the independent National Anti-Corruption Bureau (NABU) and the Specialized Anti-Corruption Prosecutor's Office (SAP) under the authority of the Prosecutor General's Office. Following protests by thousands in several cities and heavy criticism from the European Union, he reversed course and had a new law passed in parliament on Thursday to restore the independence of the anti-corruption agencies. The EU has repeatedly demanded that Ukraine implement reforms as part of its bid for membership in the bloc. The country continues to struggle with corruption, prompting concern that Western funds for its defence against Russia could be misused. In the current Corruption Perceptions Index by Transparency International, Ukraine ranks 105th out of 180 countries.
UPI
02-08-2025
- Politics
- UPI
Ukraine's 2 anti-corruption agencies detain 4 in drone, weapons scheme
President Volodymyr Zelensky announced Saturday that four Ukrainians have been detained in an investigation of "large-scale" corruption by the nation's two anti-corruption agencies. File Photo by Ole Berg/EPA Aug. 2 (UPI) -- Four Ukrainians have been detained in an investigation of "large-scale" governmental corruption, the nation's two anti-corruption agencies said Saturday. A member of parliament, two current and former officials, and a member of the National Guard military were involved, according to the nation's National Anti-Corruption Bureau and the Specialized Anti-Corruption Prosecutor's Office. They allegedly were involved in a plot to take funds appropriated for drones and electronic warfare in 2024 and 2025, NABU posted on Telegram. They also acquired and distributed "unlawful benefits on an especially large scale," the agency said. On Thursday, President Volodymyr Zelensky signed a law passed unanimously by the parliament that restores the independence of the two agencies. One week earlier, the parliament had passed the law and Zelensky signed it that essentially ends their independence. The former law sparked large protests and international rebuke, the Kyiv Independent reported. In his daily video address, he said the schemes were "absolutely immoral." Today I received a report from the Head of the Security Service of Ukraine, Vasyl Maliuk. I am grateful for our special long-range operations on Russian territory. Each of them is tangible for the enemy, and our operations will continue - Russia is dragging out the war, so it... Volodymyr Zelenskyy / Володимир Зеленський (@ZelenskyyUa) August 2, 2025 "I am grateful to the anti-corruption agencies for their work," Zelensky posted on X. "There can only be zero tolerance for corruption, clear teamwork in uncovering it, and ultimately, a fair sentence. It is important that anti-corruption institutions operate independently, and the law passed on Thursday guarantees them all the tools necessary for a real fight against corruption." NABU Director Semen Kryvonos and Head of the SAPO Oleksandr Klymenko delivered a report. A Ukrainian MP, along with heads of district and city administrations and several National Guard servicemembers, were exposed for bribery. I am grateful to the anti-corruption agencies for... Volodymyr Zelenskyy / Володимир Зеленський (@ZelenskyyUa) August 2, 2025 Detained were Oleksii Kuznetsov, a member of Zelensky's Servant of the People party; Serhii Haidai, a former Luhansk governor; Andrii Yurchenko, head of Luhansk Oblast's Rubizhne district and the guard member. Kuznetsov will be dismissed from the Servant of the People in the parliament during the investigation, party leader David Arakhimia said. In one scheme, they are accused of inflating a state contract for the purchase of electronic warfare with officials receiving a kickback of 30% of the conteact in exchange for inflating the price. They were also involved in a similar way in state contracts for drones. A military unit signed a $239,000 contract with a producer with an overpaymernt of $80,000, the agencies said. Interior Minister Ihor Klymenko announced the National Guard was implementing "systemic safeguards" to prevent power abuse. "We are building a system in which honest service is protected, and there will be inevitable responsibility for violations," Klymenko posted on Telegram. Ukraine has been purchasing drones and weapons from other nations since Russia invaded the nation in February 2022.
Bangkok Post
30-07-2025
- Business
- Bangkok Post
UK court says oligarch looted $1.9bn from Ukrainian bank
LONDON - The Ukrainian oligarch Igor Kolomoisky and his former business partner are likely to be forced to repay $1.9 billion that they 'unlawfully' appropriated from a Ukrainian bank they owned, London's High Court ruled Wednesday. Judge William Trower found that Kolomoisky and Gennadiy Bogolyubov extracted more than $1.9 billion from PrivatBank, Ukraine's largest bank, in a 'highly complex loan recycling scheme' between 2013 and 2014. He added that the men were jointly liable to compensate the bank $1,911,877,385 less the real value of assets such as real estate, petrol stations and aircraft that were provided to the lender to reduce outstanding balances. The two men must agree on that figure with the bank, along with the lost interest due to the lender, in coming up with the final compensation package. If it cannot be agreed, the court will decide at a later date. The bank successfully argued that the two men acquired it in order to advance 'sham loans' to 50 shell companies — 47 in Ukraine in three in Cyprus — 'with no business activity and no genuine credit or trading history'. Each of the borrowing entities was 'owned and/or controlled by one or both of the individual defendants', it said. 'Amounts were then transferred, either directly or indirectly after one or more intermediate recycling transactions, to the corporate defendants' accounts,' it added. The bank, which was nationalised in 2016, wanted to sue the two men in England, in part to obtain the benefit of freezing orders. It therefore had to focus its claim on three English shell companies alleged to be involved in the scheme. Kolomoisky, 62, is one of Ukraine's richest people and a former supporter of President Volodymyr Zelensky. Zelensky has long-standing links to Kolomoisky, whose media empire aired the former actor's popular Servant of the People sitcom and backed his presidential campaign. But Zelensky has vowed to fight corruption since Russia invaded in 2022, and Kolomoisky is currently in prison after being detained on suspicion of fraud and money laundering in September 2023. He is also suspected of organising a contract killing and has been stripped of his Ukrainian citizenship. In 2021, the United States banned Kolomoisky and his family from entry, with the State Department saying that as governor of the eastern Dnipro region between 2014 and 2015 he was involved in 'significant corruption'.
France 24
30-07-2025
- Business
- France 24
London court rules oligarch liable over $1.9 bn Ukraine loan scheme
Judge William Trower found that Kolomoisky and Gennadiy Bogolyubov extracted more than $1.9 billion from PrivatBank, Ukraine's largest bank, in a "highly complex loan recycling scheme" between 2013 and 2014. He added that the men were jointly liable to compensate the bank $1,911,877,385 less the real value of assets such as real estate, petrol stations and aircraft that were provided to the lender to reduce outstanding balances. The two men must agree that figure with the bank, along with the lost interest due to the lender, in coming up with the final compensation package. If it cannot be agreed, the court will decide at a later date. The bank successfully argued that the two men acquired it in order to advance "sham loans" to 50 shell companies -- 47 in Ukraine in three in Cyprus -- "with no business activity and no genuine credit or trading history". Each of the borrowing entities was "owned and/or controlled by one or both of the individual defendants", it said. "Amounts were then transferred, either directly or indirectly after one or more intermediate recycling transactions, to the corporate defendants' accounts," it added. The bank, which was nationalised in 2016, wanted to sue the two men in England, in part to obtain the benefit of freezing orders. It therefore had to focus its claim on three English shell companies alleged to be involved in the scheme. Kolomoisky, 62, is one of Ukraine's richest people and a former supporter of President Volodymyr Zelensky. Zelensky has long-standing links to Kolomoisky, whose media empire aired his popular "Servant of the People" show and backed his presidential campaign. But Zelensky has vowed to fight corruption since Russia invaded in 2022, and Kolomoisky is currently in prison after being detained on suspicion of fraud and money laundering in September 2023. He is also suspected of organising a contract killing and has been stripped of his Ukrainian citizenship. In 2021, the United States banned Kolomoisky and his family from entry, with the State Department saying that as governor of the eastern Dnipro region between 2014 and 2015 he was involved in "significant corruption".
Int'l Business Times
30-07-2025
- Business
- Int'l Business Times
London Court Rules Oligarch Liable Over $1.9 Bn Ukraine Loan Scheme
The Ukrainian oligarch Igor Kolomoisky and his former business partner are likely to be forced to repay $1.9 billion that they "unlawfully" appropriated from a Ukrainian bank they owned, London's High Court ruled Wednesday. Judge William Trower found that Kolomoisky and Gennadiy Bogolyubov extracted more than $1.9 billion from PrivatBank, Ukraine's largest bank, in a "highly complex loan recycling scheme" between 2013 and 2014. He added that the men were jointly liable to compensate the bank $1,911,877,385 less the real value of assets such as real estate, petrol stations and aircraft that were provided to the lender to reduce outstanding balances. The two men must agree that figure with the bank, along with the lost interest due to the lender, in coming up with the final compensation package. If it cannot be agreed, the court will decide at a later date. The bank successfully argued that the two men acquired it in order to advance "sham loans" to 50 shell companies -- 47 in Ukraine in three in Cyprus -- "with no business activity and no genuine credit or trading history". Each of the borrowing entities was "owned and/or controlled by one or both of the individual defendants", it said. "Amounts were then transferred, either directly or indirectly after one or more intermediate recycling transactions, to the corporate defendants' accounts," it added. The bank, which was nationalised in 2016, wanted to sue the two men in England, in part to obtain the benefit of freezing orders. It therefore had to focus its claim on three English shell companies alleged to be involved in the scheme. Kolomoisky, 62, is one of Ukraine's richest people and a former supporter of President Volodymyr Zelensky. Zelensky has long-standing links to Kolomoisky, whose media empire aired his popular "Servant of the People" show and backed his presidential campaign. But Zelensky has vowed to fight corruption since Russia invaded in 2022, and Kolomoisky is currently in prison after being detained on suspicion of fraud and money laundering in September 2023. He is also suspected of organising a contract killing and has been stripped of his Ukrainian citizenship. In 2021, the United States banned Kolomoisky and his family from entry, with the State Department saying that as governor of the eastern Dnipro region between 2014 and 2015 he was involved in "significant corruption".
