‘No easy choices for Zelenskyy’: Energoatom scandal evolves into full-blown crisis, threatens Ukraine’s war effort — The Economist
Ukrainian President Volodymyr Zelenskyy has already distanced himself from some of those named in the investigation, The Economist reported. (Photo: Zelenskiy Official / Telegram)
Ukrainian President Volodymyr Zelenskyy is facing the most
serious political test since Russia launched its full-scale invasion, as a
corruption scandal centered on the state nuclear company Energoatom escalates
into a major crisis and threatens Ukraine’s ability to wage war, The
Economist reported on Nov. 17 in an analysis of the fallout from Operation
Midas.
Citing government sources, the magazine wrote that Zelenskyy
was “shocked” by the scope of the allegations targeting individuals in his
close circle.
The Ukrainian leader has already distanced himself from some
of those under investigation. The next few days are expected to be dramatic,
the report said, as pressure mounts on Zelenskyy to cut ties with his most
controversial allies in a bid to protect both the state and his presidency.
Sources familiar with the probe said it remains unclear how
far up the chain knowledge of the kickback schemes — reportedly worth 10 to 15
percent of Energoatom’s contracts — extended. The article noted that the
scheme’s roots go back long before Zelenskyy assumed office in 2019.
Still, the proximity of his associates to the scandal could
be enough to jeopardize Zelenskyy’s political future, The Economist wrote. An
unnamed Ukrainian intelligence official compared the revelations to “a bomb
going off — the scale of a nuclear explosion.”
According to the publication, the situation threatens
Ukraine’s fight against Russian aggression in two key ways: first, by fueling
cynicism among the public and triggering more desertions from the military; and
second, by undermining Kyiv’s ability to secure as much as $100 billion in annual
aid from Western allies.
“Some will use these corruption revelations not as proof
that Ukraine has functioning anti-graft agencies, but as a pretext to reduce
support,” the article said.
The scandal has already ended the political careers of two
Cabinet ministers. The government now plans to audit all state-owned companies.
Still, the article warned, “the rot is unlikely to be stopped without a broad
and politically painful reset.”
“Zelenskyy has no easy choices,” the author concluded.
Now that the investigation is public, some of those
implicated may cut deals with law enforcement in exchange for disclosing
further compromising information.
The next phase of the probe could last up to a year. The
Economist cited sources close to Ukraine’s anti-corruption agencies who said
investigators are now examining the country’s defense sector.
Operation Midas: key details
On Nov. 10, detectives from the National Anti-Corruption
Bureau of Ukraine (NABU) raided the home of businessman Tymur Mindich, as well
as the offices of Energoatom and the residence of Justice Minister Herman
Halushchenko, who previously served as energy minister. Mindich fled Ukraine
just hours before the searches.
NABU said the Midas operation had uncovered the activities
of a “high-level criminal organization” led by “a businessman well known in the
media.” According to investigators, the group built a sprawling corruption
scheme to exert influence over Energoatom and demanded 10 to 15 percent
kickbacks from the company’s contractors.
Five suspects were detained and taken into custody with bail
options set. Among them are former energy minister adviser Ihor Myroniuk,
Energoatom’s executive director for security Dmytro Basov, and several “back
office” employees who allegedly laundered the proceeds, according to the
investigation.
On Nov. 13, journalist Oleh Novikov reported that bail had
been posted for two female suspects in the case — Lesia Ustymenko and Liudmyla
Zorina.
President Zelenskyy has said all those guilty must be
sentenced. He also imposed sanctions on businessmen Mindich and Oleksandr Zukerman.
Will you support Ukraine’s free press?
Dear reader, as all news organizations, we must balance the pressures of delivering timely, accurate, and relevant stories with requirements to fund our business operations.
As a Ukrainian-based media, we also have another responsibility – to amplify Ukraine’s voice to the world during the crucial moment of its existence as a political nation.
It’s the support of our readers that lets us continue doing our job. We keep our essential reporting free because we believe in our ultimate purpose: an independent, democratic Ukraine.
If you’re willing to support Ukraine, consider subscribing to our Patreon starting from 5$ per month. We are immensely grateful.
Please help us continue fighting Russian propaganda.
Truth can be hard to tell from fiction these days. Every viewpoint has its audience of backers and supporters, no matter how absurd.
If conscious disinformation is reinforced by state propaganda apparatus and budget, its outcomes may become deadly.
There is no solution to this, other than independent, honest, and accurate reporting.
We remain committed to empowering the Ukrainian voice to push against the muck. If you’re willing to stand up for the truth – consider supporting us on Patreon starting from 5$ per month. Thank you very much.
Will you help tell Ukraine’s story to the world?
Twenty years ago, most people hadn’t even heard of Ukraine. Today, the country is on everyone’s lips and everyone’s headlines. War pushed us on the front page. But there are many other things we do that we are proud of – from music and culture to technology.
We need your help to tell the world Ukrainian story of resilience, joy, and survival. If you’re willing to back our effort, consider supporting us on Patreon starting from 5$ per month. We are immensely grateful.
Follow us on Twitter, Facebook and Google News
