The High Anti-Corruption Court on Jan. 23 decided not to arrest Andriy Kobolev, the former CEO of state oil and gas monopoly Naftogaz.
Prosecutors have five days to appeal the decision.
The National Anti-Corruption Bureau of Ukraine (NABU) charged Kobolev with embezzlement on Jan. 18. The former CEO, who was dismissed in 2021, has denied any wrongdoing.
Kobolev is suspected of giving himself Hr 229 million in unauthorized bonuses in 2018.
The bonuses were allegedly granted as a reward for leading Naftogaz to victory against Russian state gas company Gazprom in the Stockholm Arbitration Court.
According to the NABU, bonuses cannot exceed Hr 37.5 million.