The National Anti-Corruption Bureau of Ukraine (NABU) said it is conducting a "large-scale operation" jointly with the Specialized Anti-Corruption Prosecutor's Office to expose corruption involving "a high-level criminal organization" in the energy sector.
NABU said in a post on social media on November 10 that the investigation has been ongoing for 15 months with some 1,000 hours of audio recordings gathered. It added that the "activities of a high-level criminal organization have been documented," with members having built "a large-scale corruption scheme to influence strategic enterprises in the public sector, in particular JSC 'Energoatom.'"
"Today, we are conducting the final phase of this operation, with 70 searches being carried out," said Oleksandr Abakumov, head of a detective unit of the National Anti-Corruption Bureau.
"The main objective of the criminal organization was to obtain illicit benefits from Energoatom’s contractors."
Parliamentary deputy Yaroslav Zheleznyak confirmed that searches are being conducted at Energoatom and at the residence of former Energy Minister Herman Halushchenko, who is currently justice minister.
The home of businessman and co-owner of the Kvartal 95 studio Timur Mindich was also reportedly searched. Kvartal 95 is a Ukrainian comedy troupe whose co-founder is President Volodymyr Zelenskyy.
NABU said the main activity of the criminal organization was the systematic receipt of illegal benefits from Energoatom's counterparties in the amount of 10-15 percent of the value of contracts.
While Ukraine has been lauded for making strides to rein in corruption, Western governments, anti-corruption watchdogs, and analysts say more work is needed to root out graft.
The OECD said in a report earlier this year that "corruption risks remain high in the context of Russia's full-scale invasion of Ukraine."
The investigation, announced on November 10, underlines why ordinary Ukrainians and Western governments earlier this year pushed Ukraine's president, Volodymyr Zelenskyy, to reverse a law that took away the independence of the country's leading anti-corruption bodies.
The move, which was later reversed, sparked Ukraine's biggest protests since Russia's full-scale invasion in 2022.
The energy sector has been a target of the watchdog. Volodymyr Kudrytsky, the former head of the state-run electricity grid, was arrested last month on embezzlement charges.
Kudrytsky is currently out on bail and has denied the charges, calling them politically motivated. He alleges they "could not have happened without the involvement of the presidential office."
Meanwhile, in July, an RFE/RL investigation revealed that the family of a senior Ukrainian customs chief has a portfolio of luxury real estate and cars.
Anatoliy Komar was head of the Customs Service department that levies duties on imports and exports of oil, gas, and other energy in February 2022, just before Moscow's all-out invasion.
At the time, Komar's monthly salary of about $2,000, while the family's main income came from his wife, Maria, who works as a tour guide and offers online courses. Her declared income was much higher, at around $8,000 per month.
But a detailed look at the family outgoings suggests a much higher income would be required to support their lifestyle.
Asked to explain how the lavish lifestyle was financed, Komar told RFE/RL that he would not comment on personal matters. When pressed, he said it was paid for by a "godfather" who was a "fairly wealthy person," but did not elaborate.
