Zelensky's ex-chief of staff in court as Ukraine corruption probe escalates

Key developments are emerging from the global stage. Zelensky's ex-chief of staff in court as Ukraine corruption probe escalates12 minutes ago Share Save Add as preferred on GooglePaul KirbyEurope digital editorReutersAndriy Yermak said he had only one flat and one car, and his lawyer said the allegations were "baseless"President Volodymyr Zelensky's former right-hand man Andriy Yermak appeared in a Kyiv court on Tuesday, after he was named by Ukraine's two anti-corruption agencies as a suspect in a money-laundering scheme. Yermak's lawyer had earlier denounced as "baseless" allegations that the former head of the presidential office had been caught up in a corruption scandal surrounding a $10. 5m) luxury construction project outside Kyiv.

Hours before the court hearing Yermak told reporters "I do not have any house, I only have one flat and one car", adding later that he would comment afterwards. For years he was a close friend of Zelensky, and led Ukraine's talks with the US until an anti-corruption raid on his flat last November prompted his resignation. Ukraine's Anticorruption Prosecutor's Office (Sapo) said it was asking the Kyiv court to either place him in preventive detention or give him bail of about $4m (£3m).

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The head of the National anti-corruption bureau (Nabu) stressed that Zelensky himself was not part of the pre-trial investigation. Yermak had been the president's closest adviser throughout Russia's full-scale invasion, until he became caught up in a broader inquiry by Sapo and Nabu into an alleged $100m (£74m) embezzlement scheme in Ukraine's nuclear energy sector. He was not charged or formally named as a suspect at the time, however the swirling allegations have cast a shadow over Ukraine's bid to join the European Union.

Last year, Zelensky had to scrap a law that weakened the independence of the two anti-corruption agencies, following widespread protests and criticism from the EU. As part of Operation Midas, ex-Deputy Prime Minister Oleksiy Chernyshov was charged with abuse of office, while businessman Timur Mindich reportedly fled the country after he was flagged as a suspect and ex-Energy Minister Herman Haluschenko was detained while trying to leave. Like Yermak, Mindich was once part of Zelensky's inner circle and co-owned the president's former TV studio Kvartal95, before sanctions were imposed on him.

Mindich denies wrongdoing. The latest claims centre on an elite housing project called "Dynasty" in a village outside Kyiv where millions in construction funds were allegedly laundered. The anti-corruption bureau shared part of a wiretapped conversation as part of its case and said six more people had been identified as suspects.

Yermak's defence lawyer Ihor Fomin told Ukraine's Suspilne public broadcaster on Tuesday that the "baseless" accusations against the former chief of staff had all been triggered by public pressure, the like of which he had never witnessed before. "When the investigative actions are over, I will provide a comment," Yermak told reporters on Monday night.

The development has drawn wide international attention, with diplomatic circles watching closely.