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Uncovering Misappropriation of Defense Funds

The SBU has uncovered corrupt practices within the Ministry of Defense related to food procurement for the Armed Forces.

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The Security Service of Ukraine has uncovered corruption in the Ministry of Defense, which resulted in the misappropriation of over 1 billion UAH for food procurement for the Armed Forces. Military counterintelligence, with the support of the Minister of Defense, conducted an investigation revealing the misappropriation of funds allocated from March to December 2022.

According to case materials, a former head of one of the Ministry's departments was involved in this illegal activity.

The investigation established that while in office in the spring of 2022, he signed a contract with a private company for the procurement of food products for the Armed Forces. The prices of the products were artificially inflated by 41%, and the cost of their delivery increased by 221%. According to investigators, the official did not conduct a proper verification of the reasonableness of these amounts and failed to coordinate the contract with the relevant defense departments, leading to significant budget losses.

An economic forensic examination initiated by law enforcement confirmed the facts of the misappropriation of defense funds.

The SBU investigators informed the former official of suspicion under part 5 of Article 191 of the Criminal Code of Ukraine, which addresses the misappropriation of property in particularly large amounts through the abuse of office.

Currently, a decision is being made regarding the choice of a preventive measure. The offender faces up to 12 years in prison with property confiscation. The investigation continues to hold accountable all individuals involved in the crime, with comprehensive measures conducted under the procedural guidance of the Office of the Prosecutor General.