Five people arrested over £30m Ukraine arms fraud
The Guardian|January 29, 2024
Ukraine's SBU security service has arrested five people who allegedly tried to steal nearly $40m (£31m) that was supposed to have been used to buy shells for the military in its war against Russia.
Luke Harding
Five people arrested over £30m Ukraine arms fraud

The SBU said on Saturday it had arrested two senior officials from the ministry of defence. They had allegedly conspired with the chief executive of a little-known arms firm, Lviv Arsenal, over a contract for 100,000 mortar shells. Another employee and an alleged accomplice were also detained.

The ministry paid the amount in full last August. The firm failed to deliver any shells and instead diverted some of the cash to a bank account in the Balkans, it was claimed. The SBU said it had charged five people. One was arrested as he tried to flee Ukraine. All face up to 12 years in prison.

Ukraine's president, Volodymyr Zelenskiy, has tried to clamp down on corruption. He is keen to demonstrate that Ukraine is tackling the problem as it seeks to join the EU and Nato. Both blocs have demanded comprehensive anti-graft reforms.

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