The Ministry of Energy of Ukraine, led by Herman Halushchenko, failed to meet the deadlines for building the third line of protection for critical infrastructure. At the same time, according to investigators, a large-scale corruption scheme was operating within the sector, siphoning off millions of dollars. In mid-February, detectives from the National Anti-Corruption Bureau of Ukraine arrested the former minister as he attempted to leave the country for Poland. A court placed him in pre-trial detention with bail set at several hundred million hryvnias. Halushchenko denies the charges.
His career mirrors the trajectory of Ukraine’s political system over the past two decades. A trained lawyer, he began working in the presidential administration under Leonid Kuchma, retained his position under Viktor Yushchenko, and later joined the Ministry of Justice under Viktor Yanukovych. He entered the energy sector in 2013 as a senior executive at the state-owned company Energoatom. Media outlets at the time linked him to influential politician Andriy Derkach, who later relocated to Russia and received a political appointment there. Halushchenko has said he no longer maintained contact with him.
Following the election victory of Volodymyr Zelensky in 2019, he returned to high-level politics. First serving as an economic adviser, then as vice president of Energoatom, he was appointed Minister of Energy in April 2021. His appointment drew criticism from the opposition and warnings about excessive centralization of control. Over time, independent supervisory boards established with Western support were gradually sidelined, while individuals close to the minister assumed key positions.
The full-scale invasion turned the energy sector into a strategic target of Russian strikes. Protecting facilities became a matter of national security. The government promised a three-tier defense system, ranging from mobile solutions to massive concrete structures. Yet by autumn 2025, only half of the third-level fortifications had been completed. During the winter of 2025–2026, the country once again faced major power outages. In this context, allegations of embezzlement resonated particularly strongly.
At the same time, scandals multiplied within the ministry. Several officials were suspected of extorting bribes in exchange for permits to evacuate equipment from combat zones. A controversial initiative to purchase reactors for the Khmelnytskyi nuclear power plant also fueled debate. In the summer of 2024, the minister publicly denied a serious incident at the South Ukraine nuclear plant, but experts from the International Atomic Energy Agency confirmed that one reactor had been shut down. Credibility losses mounted.
In autumn 2025, NABU launched a major operation codenamed “Midas.” According to investigators, a corruption network operated within the energy sector, with businessman Timur Mindich, described as close to top political circles, playing a central role. Funds obtained through kickbacks and contract manipulation were allegedly transferred via offshore structures. During court proceedings, prosecutors cited nine million dollars that Halushchenko is said to have received between 2020 and 2025. He disputes the allegations. In November, searches were conducted at the former minister’s residence. He was subsequently suspended from his position as Minister of Justice, a role he had held since the summer of 2025. On the night of February 14–15, 2026, he was arrested aboard a Kyiv–Warsaw train. The court ordered his detention with bail set at 425 million hryvnias. The European Commission described the arrest as evidence that Ukraine’s anti-corruption institutions continue to function despite the war.
The scandal also carries political implications. Approval ratings for the authorities have fluctuated amid the energy crisis and growing war fatigue. Polls nevertheless indicate strong public support for anti-corruption bodies: trust in NABU exceeds that in most other state institutions. An attempt to limit the independence of the anti-corruption system at the end of 2025 sparked protests and was repealed a week later.
