Pentagon inspector general: Ukraine is ‘job one’ for defense oversight

Washington — Since Russia launched its full-scale invasion of Ukraine in February 2022, the U.S. Congress has appropriated $174 billion, including U.S. weapons and materiel, to respond to the crisis and help Ukraine defend itself against Russia’s aggression.

U.S. Department of Defense Inspector General Robert Storch calls the oversight of U.S. security assistance to Ukraine his office’s “job one,” with more than 200 people assigned to that task.

In an interview with Voice of America’s Ukrainian Service, Storch discussed the challenges in obtaining the information necessary for such oversight in a country that is fighting a war, suffers from endemic corruption and has no large-scale U.S. military presence.

According to the most recent quarterly Special Inspector General report to the U.S. Congress on Operation Atlantic Resolve (the name of the U.S. military response to Russian operations in Ukraine), issued in mid-August, there were 57 open investigations as of June 30, 2024. They involved “grant and procurement fraud, corruption, theft, program irregularities, and diversion and counter-proliferation of technology of weapons systems components.”

In January, Ukraine’s SBU security service reported that it had uncovered a $40 million corruption scheme, implicating defense ministry officials and arms supplier managers, that involved the embezzlement of funds for purchase of 100,000 mortar shells.

That case did not involve U.S.-provided materiel. However, in September 2023, Oleksii Reznikov was removed as Ukraine’s defense minister “over various corruption cases despite enjoying a solid reputation in representing Ukraine in its discussions with Western allies,” Reuters reported.

Storch told VOA that the Pentagon is working with Ukraine’s military to ensure that it provides timely and accurate information, and with Ukrainian President Volodymyr Zelenskyy’s government to fight corruption. He said that in the days immediately following Russia’s full-scale invasion, Ukraine’s armed forces were delinquent in providing information, but that the situation has improved, in part thanks to oversight.

While corruption remains endemic in Ukraine, Storch said that Ukraine’s anti-corruption institutions are maturing and that the oversight community is working to ensure that such progress continues. The following has been edited for length and clarity.

VOA: You are overseeing numerous Pentagon programs. How robust is oversight of the delivery of weapons to Ukraine?

Inspector General of the U.S. Department of Defense Robert Storch: We are leading a robust, comprehensive oversight effort that really covers all aspects of U.S. assistance to Ukraine. I have responsibility over the security assistance that’s provided, and we partner very closely, hand-in-glove, with our great colleagues from the State Department Office of Inspector General and the U.S. Agency for International Development Office of Inspector General to make sure we’re covering all aspects of humanitarian or other assistance that’s being provided to Ukraine.

VOA: How large is your team that is overseeing the Ukrainian program?

Storch: We have a lot of things pulling at us and lots going on in the world with the Department of Defense. But Ukraine is very much job one. I always say it’s really a matter of the highest priority for my office and for my colleagues’ offices as well.

So, in the case of the Department of Defense Office of Inspector General, we have over 200 people who are engaged in one aspect or another of oversight over U.S. security assistance to Ukraine. That includes about 30 people who were forward deployed in the region. We have several offices in Germany. We have folks in Poland. And we have both investigators and programmatic oversight personnel at the [U.S.] Embassy in Kyiv. If you take all of our partners from State and AID in oversight entities, it is between 300 and 400 people who are engaged in oversight in this whole-of-government effort.

VOA: When you talk to Ukrainian officials, do they appreciate the importance of reporting?

Storch: Without exception, they acknowledge the importance of making sure that we get the information we need to be able to do our oversight to make sure there’s accountability, and frankly to be able to tell the decision-makers here in Washington that that’s going on. …

I go up to the Hill [Capitol Hill, location of the U.S. Congress] not infrequently. And you know, I’m not a policymaker. It’s up to the administration and the Congress to set what the policies are. But one of the things I get asked all the time is, ‘Are we getting the information we need to carry out our work?’ and we have been getting that, and we’re going to work to make sure we continue to.

 

VOA: The Pentagon transfers materiel to the Ukrainian armed forces. Do they understand the importance of oversight, and do they provide timely self-reporting?

Storch: We work really closely to make sure that’s the case. That’s one of the big lines of effort with regard to our oversight. We’ve done a number of reports looking at the monitoring and the reporting. There are obligations that the Ukrainian armed forces have for reporting on the status of the equipment, and U.S. personnel keep track and there’s a database. When things are lost or destroyed, they have to be reported in a certain way. … [T]hat’s one area where I like to think that our oversight has really made a difference. When we first started on that, the level of delinquency in that reporting was really pretty high, and some of that was because, when the war started, the U.S. personnel had to leave the country.

There was equipment being provided and really no one doing that sort of accountability and inventory. So, a lot of it has been playing catch-up. And … there are challenges with a wartime setting and a lot of this equipment is being used on the front lines and [in] really difficult and sad situations. And so being able to maintain accountability is difficult, but we do a lot of work on that.

VOA: In one of your reports, you mentioned endemic corruption in Ukraine. You worked in Ukraine in 2007 to 2009 to help the country overcome corruption. Can you compare the situation in Ukraine now to what you saw back then?

Storch: I actually had the opportunity to work and live in Ukraine back in 2007 to 2009, when I was with the Department of Justice working with the Ukrainians to help them develop measures to address official corruption. And I had the opportunity to go back on a number of occasions and provide assistance in the drafting of the anti-corruption legislation, and that created the National Anti-Corruption Bureau and the Office of the Special Anti-Corruption Prosecutor, so I have had a lot of experience out there and have seen the way these institutions have matured. The Ukrainians made it happen …

But Ukraine has had long-standing issues with corruption, obviously, and people are working to address it. One of the things we talk about in our quarterly reporting … is that they’re continuing to make efforts to address it, and we continue as the United States both to provide assistance in that, and then, in the oversight community, to do oversight over that to make sure that progress is being made.

VOA: Your report mentions that there are 57 investigations ongoing into allegations ranging from irregularities in procurement to corruption, diversion and theft. Have any of those allegations been substantiated?

Storch: At this point, based on our completed work, we haven’t substantiated those allegations, but obviously the investigations continue, right?

VOA: About half of the allegations involve the proliferation of weapons. How high is the risk of diversion?

Storch: Sure, there’s a significant risk there, but we always want to make sure we’re doing everything we can to address it, and that’s why I mention the programmatic oversight.

We have a website [with] links to the hotlines that my office and our counterparts operate. I really encourage folks to take advantage of that to report that information. So, people can look into it.

VOA: There is reporting that the Pentagon overestimated the value of some of the U.S. equipment destined for Ukraine. Do you think this accounting error will persist or is it being corrected?

Storch: We’re doing everything we can to help the [Defense] Department to address it. We became concerned about that pretty early on and consulted with the department about it and, without getting too complex, basically the department was using a methodology to value the materiel that was being provided that resulted in an overvaluation of it. If you were donating your car, you probably wouldn’t be able to donate the cost of buying a new car like that, right? It’s a little more complicated than that, but basically it resulted in an overvaluation. Initially the Department looking into it found about $6.2 billion that they thought was overstated. We came in and did additional oversight, which is reflected in our reporting, and found about $1.9 billion additionally.

So, the answer to your question is we made recommendations to help the Department address the issues, and we’re going to keep working to make sure those recommendations are carried out and the problems addressed.

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