Ukraine’s political landscape was shaken again on Monday as former Energy Minister Herman Halushchenko was formally charged with money laundering and participation in a criminal organization, deepening what has become one of the most significant corruption scandals of President Volodymyr Zelenskyy’s tenure.
A High-Profile Detention at the Border
Halushchenko, who served as energy minister from 2021 to 2025 and briefly as justice minister in 2025, was detained on February 15 while attempting to leave Ukraine by train. Border guards removed him from the carriage before he was transported to Kyiv for questioning.
Investigators say the detention is part of Operation Midas, a sweeping anti-corruption probe targeting alleged kickback schemes and illicit financial networks tied to the state nuclear power company Energoatom. Eight other suspects have already been charged, and authorities identify Timur Mindich, a former associate of President Zelenskyy, as the suspected ringleader.
Alleged Offshore Network and Millions in Transfers
According to the National Anti-Corruption Bureau (NABU) and the Specialized Anti-Corruption Prosecutor’s Office (SAPO), Halushchenko and members of the criminal group allegedly established an offshore investment fund in Anguilla in February 2021. The fund sought to raise approximately €118 million, with Halushchenko’s family listed among the investors.
Investigators say:
- Over €8.8 million was transferred into accounts controlled by Halushchenko’s family.
- More than 1.3 million Swiss francs and €2.4 million in cash were withdrawn and delivered to his family in Switzerland.
- Funds were allegedly used for his children’s education at elite Swiss institutions and deposited into accounts belonging to his ex-wife.
- The remaining sums were placed into interest-bearing deposits for personal gain.
NABU further alleges that the laundering scheme used cryptocurrency transactions, offshore companies in the Marshall Islands, and a trust structure registered in St. Kitts and Nevis to obscure the money trail.
Kickback Scheme and Wider Political Fallout
The charges also connect Halushchenko to a $100 million kickback scheme involving Energoatom contractors, with investigators claiming that 10–15% of contract values were siphoned off through illicit channels. Approximately $12 million was found in accounts linked to his family.
The scandal has already triggered a wave of resignations and dismissals across the government, including senior ministers and Zelenskyy’s former chief of staff, Andriy Yermak. The political fallout has intensified public scrutiny of the administration’s anti-corruption commitments, especially as Ukraine continues to seek deeper integration with the European Union.
Halushchenko Yet to Comment
As of Monday, Halushchenko has not issued any public statement regarding the charges. His legal status remains in flux as investigators continue interrogations and gather evidence.
A Test of Ukraine’s Anti-Corruption Resolve
The case marks a critical moment for Ukraine’s anti-graft institutions, which have been under pressure to demonstrate independence and effectiveness amid ongoing war-related challenges and international scrutiny. With the investigation widening and more high-profile figures implicated, Operation Midas is poised to remain at the center of Ukraine’s political discourse in the coming weeks.