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Defense Ministry wins five cases of international arbitration against foreign suppliers

by Elsa Court and The Kyiv Independent news desk December 14, 2023 6:29 PM 2 min read
Ukrainian soldiers stand at their position in the Donetsk region, on December 10, 2023. (Photo by Anatolii Stepanov / AFP via Getty Images)
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Over the last three months, Ukraine won five disputes with foreign suppliers of military equipment worth over Hr 900 million ($24.3 million), the Defense Ministry reported on Dec. 14.

The disputes with foreign suppliers arose due to non-delivery, violation of the terms of the delivery, and the quality of the delivered goods, the Defense Ministry said.

The ministry is set to be refunded over $6.9 million and 16.4 million euros ($18 million) after an international arbitration court ruled in its favor.

"The court also ruled that annual interest continues to accrue daily until the supplier pays its debt to the Ministry of Defense of Ukraine," the report said.

The Defense Ministry noted that the five disputes were won in the first "100 days of work of the new team." Rustem Umerov replaced Oleksii Reznikov as defense minister on Sept. 6

Reznikov resigned on Sept. 3 following to two major corruption scandals related to the procurement of equipment and supplies in the Defense Ministry.

Umerov then replaced six deputy defense ministers as part of a "complete renewal" of the ministry.

Ukraine's new Defense Minister Rustem Umerov requested six deputy defense ministers submit a voluntary resignation from their position, Ukrainska Pravda reported on Sept. 18 following news the ministers had been dismissed.

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