The Verkhovna Rada Wants to Make Embezzlement of EU Funds a Separate Crime

Ukraine is preparing to establish a separate criminal offense for the illegal use of European Union funds. This is provided for in the National Anti-Fraud Strategy to Protect the Financial Interests of Ukraine and the EU, which was approved by the Cabinet of Ministers.

People’s Deputy Olga Vasilevska-Smaglyuk announced the new legislative initiatives. The document notes that the implementation of the Ukraine Facility program—under which Ukraine could receive up to 50 billion euros between 2024 and 2027—carries an increased risk of fraud and abuse. The likelihood of embezzlement is increasing due to vulnerabilities caused by the war and the significant volume of international financial aid.

The plan for implementing the Strategy calls for drafting amendments to Ukraine’s Criminal Code and Code of Criminal Procedure to establish clear liability for fraud involving European funds. The Economic Security Bureau has been designated as the lead agency responsible for drafting the relevant bill.

Source: Telegram channel of People’s Deputy Olga Vasilevska-Smaglyuk.

The U.S. Department of the Treasury commented on the possibility of aid embezzlement in Ukraine.

Auditors have arrived in Kyiv to verify that U.S. military and financial aid is being spent for its intended purposes.