Investigation into major procurement fraud at Ukraine's Kharkivoblenergo completed
The National Anti-Corruption Bureau of Ukraine (NABU) and the Specialized Anti-Corruption Prosecutor's Office (SAPO) have completed their investigation into a major fraud case involving eight members of an organized group suspected of large-scale embezzlement at JSC Kharkivoblenergo, a regional electricity supply company.
"The scheme was uncovered a year ago, at which point five individuals were formally charged. The list of suspects was later expanded, and in June 2025, the scheme's organizer was officially charged," NABU reported.
According to the investigation, the scheme's mastermind took direct control of Kharkivoblenergo's procurement of energy equipment in 2021 and sought to expand his influence over similar purchases at other state-owned enterprises in the energy sector.
At the time, the head of Kharkivoblenergo followed the organizer's instructions and ensured that contracts for transformers and meters were signed at inflated prices – sometimes several times above market rates – with companies under the organizer's control. The scheme was supported by several other department heads at the utility, a Kharkiv Chamber of Commerce and Industry employee, and a private appraiser.
Through this operation, the organized group planned to embezzle more than UAH 132 million from Kharkivoblenergo during 2021–2022. The illicit proceeds were laundered using a network of shell companies and subsequently converted into cash, which was then distributed among the conspirators.