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Defense Ministry terminates contracts with Hrynkevych after corruption scandal

In Europe
January 09, 2024

Following recent corruption allegations against Ukrainian businessman Ihor Hrynkevych, Ukraine’s Defense Ministry has terminated its contracts with several companies linked to Hrynkevych, Deputy Defense Minister Vitaliy Polovenko said at a press briefing on Jan. 9.

“The stance [on the Hrynkevych case] is that after the media publications, the Defense Ministry immediately decided to terminate those contracts that had been previously concluded,” said Polovenko.

Read also: Anti-corruption agencies halt secret investigation into ‘salaries in envelopes’ for ruling party MPs

In late 2023, Ukraine’s State Bureau of Investigation (SBI) detained a Lviv-based supplier to the Defense Ministry, suspected to be Ihor Hrynkevych, for attempting to bribe an SBI official with $500,000. The court ordered his detention, with a bail of UAH 420 million ($11 million).

Read also: Procurements for Defense Ministry politicized, says Umerov

The ongoing investigation involves fraudulent practices in procuring clothing and underwear for the Ukrainian Armed Forces. Companies linked to Hrynkevych won 23 contracts worth over UAH 1.5 billion ($39 million).

The companies were ultimately unable to meet the standards outlined in the contracts, leading to budget losses of an estimated UAH 1.2 billion ($32 million) and disruptions in the procurement process.

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Read the original article on The New Voice of Ukraine

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