Ukraine’s Zelensky seeks urgent renewal of supervisory boards in defence sector
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A former business associate of Ukrainian President Volodymyr Zelensky is a suspect in a US$100 million (S$130 million) corruption scandal affecting the energy sector.
PHOTO: REUTERS
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- Zelenskiy urged PM Shmyhal to urgently renew defence sector supervisory boards to restore investor confidence after a major corruption scandal.
- Supervisory boards in state energy companies must be formed by December's end to ensure management and internal process oversight, aiming for transparency.
- The government plans to appoint a new Energoatom supervisory board by year-end, crucial for Ukraine’s EU aspirations amid ongoing Russian invasion.
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KYIV - Ukrainian President Volodymyr Zelensky said on Dec 3 he had urged Defence Minister Denys Shmyhal to carry out an urgent renewal of supervisory boards in the defence sector, aiming to restore investors’ confidence after a corruption scandal.
Ukraine has been rocked by a corruption scandal
It is Ukraine’s biggest such scandal since Mr Zelensky became president in 2019 on a mandate to eliminate graft. Eradicating graft and shoring up the rule of law are key requirements for Kyiv to join the European Union, which Ukrainians see as critical to their future as they fend off a Russian invasion.
“It’s through supervisory boards that management and oversight of internal processes in companies are carried out, and this must be ensured one hundred percent,” Mr Zelensky said on the Telegram messenger.
He also said that supervisory boards in state-run energy companies must be formed by the end of this month after the powers of most supervisory boards are terminated today.
The government said in November that it planned to appoint a new supervisory board at Energoatom, the state nuclear company at the heart of a corruption scandal, by the end of this year.
“The pace of transformation is satisfactory and must ensure full transparency in management,” Mr Zelensky said, after meeting with Prime Minister Yulia Svyrydenko.
“New members of the supervisory boards must be appointed in December in accordance with a clear and fair procedure.”
State-owned companies such as oil and gas firm Naftogaz, power grid operator Ukrenergo and nuclear energy company Energoatom dominate the Ukrainian energy sector. REUTERS
