Ukraine’s justice and energy ministers resigned on Wednesday as a sweeping corruption investigation involving the country’s energy sector continued to expand.

Justice Minister Herman Haluschenko and Energy Minister Svitlana Grynchuk stepped down within hours of President Volodymyr Zelensky calling for new leadership in their ministries.

Both denied any wrongdoing.

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Haluschenko previously served as Ukraine’s energy minister before taking over the justice ministry.

He is among several high-ranking officials identified in Operation Midas, a joint investigation launched in the summer of 2024 by the National Anti-Corruption Bureau of Ukraine (NABU) and the Special Anti-Corruption Prosecutor’s Office (SAP).

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According to investigators, Operation Midas uncovered extensive evidence during more than 70 nationwide raids, including large sums of cash, documents, and more than 1,000 hours of wiretap recordings. NABU said that “almost the entire staff of detectives” was assigned to the final stages of the operation.

NABU described the alleged bribery and kickback scheme as large enough to qualify as one of the biggest corporations in the country if it had operated legally.

Investigators estimate that the money-laundering network moved more than $100 million.

The probe centers on allegations that contractors paid Ukrainian politicians to secure contracts with state nuclear power company Energoatom.

These contracts involved constructing fortifications intended to protect energy facilities from Russian attacks. Many of the sites were later destroyed by Russian strikes, leaving residents without power during winter.

Kickback payments were alleged to reach up to 15 percent of the contract value.

Ukrainian authorities said the suspected ringleader was Tymur Mindich, co-owner of the production studio Kvartal 95.

The company is known for creating the 2015 television series Servant of the People, which starred Zelensky.

The show depicted an ordinary citizen who unexpectedly becomes Ukraine’s president after publicly criticizing corruption.

Mindich is also a former business partner of Ihor Kolomoyskiy, the billionaire who supported Zelensky’s successful 2019 presidential campaign.

Kolomoyskiy was arrested in 2023 on charges of fraud and money laundering. Mindich left Ukraine shortly before investigators raided his home on Monday, prompting speculation in Ukrainian media that he may have been warned.

Reports indicated he may have traveled to Israel.

Additional figures tied to Zelensky’s administration have been implicated, though not all have been publicly named.

Those identified include National Security and Defense Council secretary Rustem Umerov, former deputy prime minister Oleksiy Chernyshov, former Energoatom security chief Dmytro Basov, and Ihor Myroniuk, former deputy head of the State Property Fund.

NABU and SAP are also investigating a separate scheme involving military procurement.

Prosecutors said that in some cases, Ukrainian officials purchased low-quality foreign-made equipment at inflated prices, with a portion of the proceeds allegedly returned to those arranging the deals.

Chinese-manufactured bulletproof vests were cited as one example.

The wiretaps collected by investigators included conversations in which suspects used pseudonyms to discuss payments.

In one recording, Chernyshov — referred to as “Che Guevara” — talked about a $500,000 kickback reportedly picked up by his wife.

Court hearings broadcast by Ukrainian public television on Thursday included a wiretap in which Mindich claimed to have significant influence over Zelensky.

Though no evidence directly implicates the president at this stage, the mention added political pressure as the investigation continues.

Zelensky’s standing has also been affected by public criticism over his attempt in July to place NABU and SAP under presidential authority.

The move sparked widespread protests and was ultimately reversed by lawmakers.

Critics have pointed to Operation Midas as evidence of why independent oversight is necessary.

The expanding scandal comes as Ukraine seeks to advance its bid to join the European Union.

EU officials have repeatedly stated that anti-corruption progress is essential for membership consideration.

Earlier this week, the EU said Ukraine had made improvements but still needed to enact more reforms.

German Chancellor Friedrich Merz raised concerns during a phone call with Zelensky, emphasizing “the German government’s expectation that Ukraine press ahead energetically with fighting corruption and further reforms, particularly in the area of the rule of law.”

Zelensky responded by committing to “full transparency, long-term support for the independent anti-corruption authorities and quick further measures.”

Guillaume Mercier, a spokesman for the European Commission, said the revelations showed that “anti-corruption bodies are in place and functioning in Ukraine,” while adding that “the fight against corruption is key for a country to join the EU.”

European Commission President Ursula von der Leyen announced a new $7 billion loan to Ukraine on Thursday.

She said the funding was intended to “cover the financial needs of Ukraine for the next two years,” while underscoring the importance of demonstrating to Russian President Vladimir Putin that he cannot “outlast” Ukraine.

The unfolding case is expected to draw attention in the United States, where debate continues over funding Ukrainian defense efforts against Russia.

Investigations involving military procurement and energy infrastructure may play a role in upcoming discussions in Washington.

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