Yermak resigns after anti-corruption raid amid energy-sector embezzlement probe
Andriy Yermak resigned as President Volodymyr Zelensky’s chief of staff after anti‑corruption agents from NABU and the SAPO searched his Kyiv apartment in the presidential compound and his office, actions tied to "Operation Midas," a 15‑month, $100 million probe into alleged embezzlement of funds meant to repair Ukraine’s energy grid; Yermak says he has not been formally charged, cooperated with investigators and had lawyers present. His departure — accepted by Zelensky to "avoid rumors and speculation" — has intensified political fallout, with ministers removed, renewed calls for Yermak’s ouster, EU scrutiny, investigators naming Tymur Mindich as an alleged ringleader, and concerns the scandal could weaken Ukraine’s negotiating position in recent U.S.–Ukraine peace talks.
📌 Key Facts
- Andriy Yermak resigned as Ukraine’s presidential chief of staff on Friday; President Zelensky accepted the resignation in a video address, saying he did so to “avoid rumors and speculation,” thanking Yermak and promising a reshuffle and a new chief of staff in the coming days while urging unity.
- Ukraine’s state anti-corruption agencies (NABU and SAPO) raided Yermak’s home, his apartment inside the presidential compound in central Kyiv and -- reportedly -- his office; the searches took place on Friday, Yermak said investigators “faced no obstacles” and that he was cooperating with lawyers, while his spokesperson said he has not received a formal notice of suspicion or been told what the searches concern.
- The raids are linked to “Operation Midas,” a 15‑month, roughly $100 million embezzlement probe into the energy sector (including alleged theft of funds earmarked for repairing Ukraine’s energy grid and ties to nuclear‑energy contracts), a case built on about 1,000 hours of wiretaps.
- Investigators have tied key figures to the scheme including Timur (Tymur) Mindich, a onetime business partner of Zelensky who has fled and could be tried in absentia, and former Deputy Prime Minister Oleksiy Chernyshov; two cabinet ministers have already been removed this month and earlier probes led to departures of two former Yermak deputies in 2024 while another deputy remains under investigation.
- Yermak has not been officially named as a suspect in the investigation, even as media and authorities reported searches of his premises and as he resigned hours after the raids.
- The scandal and Yermak’s departure have immediate diplomatic implications: he led Ukraine’s team in recent Geneva talks, helped pare a U.S. 28‑point draft to a 19‑point peace framework, was due to meet U.S. envoys in Miami, and U.S. officials warned the affair could weaken Ukraine’s negotiating position; Rustem Umerov is now leading U.S. meetings.
- Domestic political pressure intensified as lawmakers renewed calls for Yermak’s removal; Zelensky had earlier resisted such calls, and EU officials framed the searches as evidence Ukraine’s anti‑corruption bodies are working — a point tied to EU accession prospects.
- Reporting emphasized the stakes of the probe amid intensified Russian drone strikes on Kyiv’s infrastructure, underlining concerns that alleged energy‑sector corruption could undermine Ukraine’s wartime resilience.
📊 Relevant Data
As of the end of May 2024, about 70% of Ukraine's thermal generation capacity was either occupied or damaged due to Russian attacks.
Between March and May 2024, Ukraine lost another 9 GW of generation capacity, mainly thermal and hydro assets, due to Russian attacks.
By mid-2024, Ukraine had only a third of its pre-war electricity generating capacity due to Russian strikes.
Russian strikes against Ukrainian infrastructure - Wikipedia — Wikipedia
War-related damage to Ukraine's energy system had reached $20.5 billion by 2024.
Ukraine's energy sector is a key battleground in the war with Russia — Brookings Institution
Household electricity outages in Ukraine totaled nearly 2,000 hours in 2024.
The Electricity Front of Russia's War Against Ukraine — War on the Rocks
By June 2024, Ukraine's available energy capacity had plummeted by 85 percent due to Russia's systematic attacks on energy infrastructure.
Health Care in the Dark: The Impacts of Russian Attacks on Energy Infrastructure in Ukraine — Physicians for Human Rights
📰 Sources (8)
- PBS reports the scandal centers on alleged embezzlement of public money earmarked for repairing Ukraine’s energy grid.
- Key figures linked by investigators include Timur Mindich (Zelenskyy’s former media business partner) and former Deputy Prime Minister Oleksiy Chernyshov.
- Ukraine’s state anti-corruption body raided Andriy Yermak’s home before his resignation; PBS notes it is not confirmed the raid is part of the same energy case.
- Context of intensified Russian drone strikes on Kyiv’s infrastructure underscores the stakes of the alleged energy-sector corruption.
- Clarifies Yermak’s direct role in negotiating to soften the U.S. 28‑point draft last week before his resignation.
- Notes that his absence eased worries in Ukraine that the embezzlement probe could be used as leverage to force concessions in talks.
- States Rustem Umerov is now leading the delegation in U.S. meetings.
- Axios reports Yermak resigned hours after anti-corruption investigators raided his home.
- Zelensky said in a video he will reshuffle the president’s office and appoint a new chief of staff in the coming days, warning against ‘losing unity.’
- Peace framework was pared from Trump’s 28 points to a new 19-point plan after Geneva talks led by Secretary of State Marco Rubio, which Ukrainians felt better reflected their interests.
- Yermak was due to travel to Miami this weekend for talks with Trump envoys Steve Witkoff and Jared Kushner; the goal was to finalize understandings before Witkoff and Kushner travel to Moscow to meet Vladimir Putin.
- A U.S. official told Axios the corruption scandal could weaken Ukraine’s negotiating position.
- NABU and SAPO stated their searches specifically targeted Yermak; his apartment inside the presidential compound in central Kyiv was searched.
- Yermak’s spokesperson Oleksii Tkachuk said Yermak has not received a notice of suspicion and has not been told what the searches concern.
- EU Commission spokesperson Guillaume Mercier said Brussels is following closely and framed the searches as evidence Ukraine’s anti-corruption agencies are working, tying this to EU accession.
- Investigators suspect Tymur Mindich, a onetime business partner of Zelenskyy, as the alleged mastermind; he has fled and would likely be tried in absentia.
- Media reported Yermak’s office was also searched, though investigators declined to confirm; Yermak said investigators faced “no obstacles” and that he is cooperating with lawyers present.
- Andriy Yermak resigned as chief of staff on Friday; President Zelensky accepted the resignation in a video address.
- Zelensky said he accepted the resignation to “avoid rumors and speculation,” thanking Yermak for representing Ukraine’s position in negotiations.
- The resignation casts doubt on the latest round of U.S.–Ukraine–Europe diplomatic efforts to end the war; Yermak had led Ukraine’s team in talks with the Trump administration.
- Operation Midas is described as a 15‑month, $100 million embezzlement probe with 1,000 hours of wiretaps; Yermak has not been officially named in the investigation.
- Investigators searched Yermak’s home in Kyiv on Friday.
- WSJ specifies the home search occurred on Friday and that Yermak was in Geneva on Sunday negotiating a peace plan.
- Two cabinet ministers have already been removed this month over allegations tied to the $100 million nuclear energy corruption scheme.
- Renewed calls from lawmakers for Zelensky to remove Yermak amid the probe.
- NABU and SAPO searched Andriy Yermak’s office; Yermak confirmed his apartment was also searched.
- Yermak stated 'The investigators are facing no obstacles' and said he is cooperating with lawyers present.
- The investigation concerns a $100 million energy-sector corruption scandal involving top officials.
- Background: Two former Yermak deputies (Oleh Tatarov, Rostyslav Shurma) left government in 2024 after watchdog probes; another deputy (Andrii Smyrnov) was investigated but remains in post.
- Political fallout: Zelenskyy defied calls from senior party lawmakers to fire Yermak, urging unity amid U.S. pressure to reach a settlement with Russia.
- Recent context: Yermak was present at top-level U.S.–Ukraine peace talks in Geneva last weekend.